Credit, Collections & Insolvency News
Financial advisory company, Begbies Traynor has announced that it has acquired a portfolio of 503 Scottish personal insolvency cases and a team of five fee earners, from Grant Thornton in a deal thought to be worth £500,000. The acquisition will increase the group’s existing operations in Scotland, which provide corporate and personal insolvency together with…
Read moreConsumers repaid £7.4 billion debt in April, the largest net repayment since the series began according to the latest figures from the Bank of England’s monthly Money & Credit statistical release data. This is the largest net repayment since records began in 1993 and double that of March, which was the previous record. The figures…
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The Association of British Credit Unions Limited (ABCUL) has called on the Insolvency Service and the Insolvency Practitioners’ Association (IPA) to stop insolvency firms making money out of those disadvantaged by the coronavirus. Last week the largest provider of IVAs, Creditfix, wrote to creditors asking them to approve a £84.12 fee on each of their…
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New research from challenger credit bureau, Credit Kudos, has revealed the strain that financial pressures can put on people’s mental health. With many people losing their jobs or being furloughed, people need access to affordable credit to help them deal with the financial difficulties posed by the COVID-19 crisis. The research reveals a quarter (26%)…
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Analytics and decision management provider FICO has announced that it has partnered with OpenWrks – provider of Open Banking based digital engagement applications. Under the partnership, FICO plans to combine OpenWrks financial budgeting and conversational AI technology with FICO’s market-leading integrated collections and omni-channel platform to assist creditors in making the most appropriate customer decisions…
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Customers facing temporary financial difficulties due to the coronavirus have been granted almost 1.5 million payment holidays by lenders on their credit cards and personal loans according to latest figures from UK Finance. As of 21st May, 877,800 customer accounts had been given a payment freeze on their credit card. This is an increase of…
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RBS will repay around £2.2 million in charges and interest to approximately 36,000 customers who went into or attempted to go into unarranged overdraft without first sending an alert to them. The bank failed to send accurate text warnings to customers, from February 2018 until December 2019, and has now agreed to fully repay the…
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New research from Citizens Advice has shown that four in ten (41%) of those in the shielded group have lost at least 20% of their income since the coronavirus outbreak began. More than a quarter (27%) have lost 60% of their income or more. The charity has supported thousands of workers with underlying health conditions,…
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Young people are relying on non-traditional forms of credit, such as Buy Now Pay Later schemes (BNPL), to cover their finances during lockdown as a result of COVID-19. New research from comparethemarket.com reveals that nearly a quarter (23%) of 18-24 year-olds are more likely to use BNPL to fund purchases since the government lockdown. While…
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Nationwide Building Society has pledged to suspend repossessions of borrower’s homes for the next 12 months as part of a packet of measures to support customers. Nationwide says it will offer borrowers flexibility around repayments, which may include temporarily moving onto interest-only. The lender has announced a five-point support package designed to help protect the homes…
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Latest figures from UK Finance show 1.82 million mortgage payment holidays have been issued as of 20th May 2020 – equivalent to one in six mortgages issued by lenders. UK Finance says Lenders have welcome the FCA’s draft guidance consultation published today, and the PRA’s related publication, on the next steps for those borrowers already on…
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One in ten families has asked family and friends for money to pay household bills according to new research by comparethemarket.com. The findings were part of the comparison specialist’s Household Financial Confidence Tracker, The company also says that the Government’s decision to start easing the nationwide lockdown has led to a pronounced drop in confidence…
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Homeowners struggling to pay their mortgage due to Coronavirus will be able to extend their mortgage payment holiday for a further three months, or start making reduced payments, in proposals published by the Financial Conduct Authority (FCA). The FCA has published new draft guidance today for lenders which will set out the expectations for firms…
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