Credit, Collections & Insolvency News
The Financial Conduct Authority (FCA) has set out new best practice guidance for firms to do more to protect vulnerable consumers. The second consultation is its revised guidance for firms on the fair treatment of customers in vulnerable circumstances, alongside new research on the experiences of vulnerable consumers. More than 24 million people display one…
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A new Ofcom review means that broadband customers who choose not to sign up to contract deals will make total savings of £270 million annually from pricing changes after it was found that broadband firms are failing to protect customers from excessive out-of-contract prices. The communications regulator says that in September, it secured commitments from…
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Free debt advice provider PayPlan and housing provider Longhurst Group have partnered to improve the support on offer to customers who may be in financial difficulty. The. Longhurst Group, which owns and manages more than 23,000 homes across the Midlands and East of England, has launched its Improving Lives 2025 strategy, in which it commits…
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Average spending on UK credit cards dropped by 26.5 percent for the period January to May 2020 compared to the same period in 2019. according to new research analysis by Fico. The research says that whilst typically spend in May is lower than April when Easter and school holidays normally occur, the spend in May…
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Almost a fifth (18%) of people aged 50 and over say that the COVID-19 pandemic has already or may impact their retirement plans, according to a new study from Co-op Insurance. In the study a quarter (25%) said they’ve not been able to retire due to their finances, a fifth (22%) have had to use…
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Personal insolvencies are set to rise according to a member survey by insolvency and restructuring trade body R3. The survey found that eight in ten respondents expect personal insolvency numbers to increase within the next 12 months. Nearly half (44.5%) of the respondents to R3’s member survey who work in personal insolvency say they expect…
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With just one month to go until the end of the eviction ban (23rd August), Citizens Advice is warning it has seen a huge surge in private renters worried about arrears. The charity believes that many renters will need financial support to pay back these debts or risk losing their homes. New figures from the…
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Leading debt and housing organisations have written an open letter to MHCLG minister Robert Jenrick, warning that without urgent action, people will lose their homes when the rental eviction ban lifts on 23rd August 2020. StepChange has joined forces with housing campaign group Generation Rent to urge Robert Jenrick MP to ensure that no-one who…
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The Resolution Foundation says working-age households have suffered the worst income shock since mid-1970s, with the coronavirus crisis delivering a 4.5% decline in typical household incomes in May. The decline is the steepest since the 5.1% recorded in 1974 and exceeds the 2.7% fall in incomes seen in the wake of 2008’s financial crash. The…
Read moreThe Money Advice Trust and StepChange debt charity say that changes to professional standards proposed by the Joint Insolvency Committee do not go far enough to protect financially vulnerable people from harm. The charities are particularly concerned about the practices of lead generation companies that Individual Voluntary Arrangements (IVA) providers pay for referrals and are…
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Lenders have provided over one million payment deferrals on credit cards to help customers whose finances have been affected by Covid-19 over the past three months, according to figures published by UK Finance. The trade body’s members have also provided almost 707,000 payment deferrals on personal loans for customers impacted by the pandemic. In addition,…
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Latest figures in The Bank of England Credit Conditions Survey’ have found that demand for lending suffered a fall during the three months to the end of May. The survey suggests demand for loans is set to increase at a time when banks start to slow down lending and prepare for a wave of bad…
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The government has confirmed that the new statutory Breathing Space scheme will launch in May next year. The government has published draft regulations titled The Debt Respite Scheme (Breathing Space Moratorium and Mental Health Crisis Moratorium) (England and Wales) Regulations 2020. The news will mean that people in problem debt will be able to access 60…
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