Credit, Collections & Insolvency News
A new Work and Pensions Committee report has highlighted the difficulties faced by people claiming Universal Credit. A new report by the Work and Pensions Committee, Universal Credit: the wait for a first payment, has found the current wait of at least five weeks for a first payment is causing financial difficulties for some households.…
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A new independent report, which contains 13 recommendations to address the urgent financial wellbeing implications of the Covid-19 pandemic, has been released by the Challenge Chairs who advise the Money and Pensions Service (MaPS) on the UK Strategy for Financial Wellbeing. These recommendations, which include immediate actions, such as help with credit for people coming…
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More than 800,000 households could be automatically switched onto more expensive ‘default’ energy tariffs in the last three months of 2020 if they do not switch tariff or provider when their deal comes to an end. In October, November and December 2020, there are 469 fixed energy tariffs coming to an end, according to new…
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Nearly two in five (38%) retirees aged 54 and over say their monthly expenditure exceeds their household’s income, either on an occasional or regular basis according to new research from equity release lender more2life and economics consultancy Cebr The research also indicated that a third (33%) of women aged over 54 who have taken on or held…
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Accountant in Bankruptcy has published its latest figures which indicate that there were 7,003 personal insolvencies in the year to the end of September 2020, 3,275 (31.9%) fewer than in the same period the year before. Bankruptcies decreased by 37.5% in the year to the end of September 2020 when compared with the same period…
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The Insolvency Service has published its latest figures which indicate that in September 2020 there were 143 individual insolvencies, down 54% from September 2019; Personal insolvencies consisted of 109 IVAs, 20 DROs and 14 bankruptcies. The figures fell by over half compared with September 2019. Business Insolvencies in Northern Ireland decreased by 72% from September…
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The Insolvency Service has published its latest figures which indicated that in September personal insolvencies in England and Wales increased to 7,450 in September 2020 compared to August’s figure of 6,372, but remained well below September 2019’s figure of 12,256 There were, on average, 4,639 IVAs registered in each of the 3 months ending September…
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A significant number of people are at risk being pushed into a position where they can’t pay their essential bills and could face spiralling debts if the uplift to Universal Credit and Working Tax Credit is not extended beyond April 2020 according to analysis from Citizens Advice. Analysis of the people Citizens Advice helps with…
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Almost three million households owe £188 million to their energy suppliers before winter has even begun, half a million more households than 2019 according to the latest winter energy debt research from Uswitch.com. The jump in the number of homes in debt comes at a time when energy accounts should ideally be in credit after…
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An increase in personal debt as a result of the Covid-19 lockdown is likely to be a key driver behind many bankruptcies between now and Christmas, according to a top insolvency practitioner. Ian Defty, Partner at insolvency and restructuring firm CVR Global, believes the UK is set to face a deluge of bankruptcies or debt…
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Consumer sentiment has rebounded to pre-pandemic levels according to fresh data from PwC UK, which shows that at -1, sentiment is now in line with levels seen between 2015-19, and is now better than at any point between 2008-14. It is a significant turnaround from the low point of -26 recorded the weekend before the…
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The letters borrowers receive from their lenders when they are seriously behind on repayments will be easier to understand and less intimidating as a result of new rules proposed by the Treasury. Currently, lenders have to comply with a 1970s law that dictates the text of official default notices issued by the banks. Default Notices…
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More than 40% of workers are relying on at least one new loan, credit card or overdraft in order to make ends meet, according to new research by Hastee. Over a third of those surveyed said they were being even more cautious with their cash every month, while 27% needed to sacrifice essential purchases due to…
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