Credit, Collections & Insolvency News
TotallyMoney has calculated the cost of a poor credit score for customers looking to lock in a personal loan. The research found that for the most commonly provided loan of £3,000, somebody with a poor credit score could pay an extra £2,668 in interest charges over 36 months, when compared to somebody with an ‘excellent’…
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The Bank of England’s Financial Stability Report has forecast a continued rise in households with high debt servicing ratios and an increase in the use of consumer credit. The report says that while households and businesses are already facing cost-of-living pressures and higher borrowing costs, the full impact of higher interest rates has yet to through…
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Latest credit card spending figures from Barclays have shown a shift towards saving. The data shows that consumers are cutting back on eating out and reining in on buying takeaways to save up for the expensive the Christmas season season. Consumer card spending grew 4.2 per cent year-on-year in September – less than the latest CPIH*…
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New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business fell in August 2023 by 7% compared with the same month in 2022. In the first eight months of 2023, new business remained 3% lower than in the same period in 2022. The retail store and online credit sector…
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UK consumers are the least likely in Europe to worry about how the cost of living has impacted their credit rating, despite being among the most impacted by it. The research from CRIF, Europe’s leading provider of digital transformation solutions for the financial services industry, finds that only one in five (20%) British consumers are…
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A poor credit score could cost £272,302 in additional interest over a course of a lifetime (ages 20 – 68) compared to a good credit score. The in-depth study by free smart money platform, Credit Karma, found that someone in their 20s, who has a poor credit score, will pay hundreds of thousands of pounds more…
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A quarter of young homeowners, aged 29 and under, have opted for repayment terms of at least 35 years to make their monthly mortgage payments more affordable, according to Experian. This is up from one in 10 in 2020, an increase of 150%. The increased cost of borrowing means that many people will be nearing retirement…
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Latest Bank of England (BoE) data has shown that borrowing of consumer credit by individuals amounted to £1.6 billion in August, up from £1.3 billion in the previous month. Consumer credit growth rose to 7.6 percent in August 2023 with outstanding balances for consumer credit now standing at £217 billion. Net borrowing of mortgage debt by…
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Consumer confidence in the UK rose to -21 in September, the best recorded since January 2022, according GfK’s latest Consumer Confidence Index. The index measuring changes in personal finances during the last year is up two points at -13; this is 15 points better than September 2022. The forecast for personal finances over the next…
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As interest rates continue to increase, mortgage borrowers expect their monthly payments to increase by an average of £617 according to new research by The Mortgage Lender (TML). TML’s recent research found that 80% of homeowners reported being concerned about the effect of rising rates, with 37% being extremely concerned and 43% being somewhat concerned.…
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Research by credit reference agency TransUnion has found that seven in 10 (70%) young people aged 18 to 24 (Generation Z) check their credit score at least once a month. The research also revealed that 57% don’t realise that late or missed payments can have a negative impact on their credit score whilst nearly two…
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New research by Saltus has found that one in 30 respondents are planning for their home’s value to fund 100% of their retirement, while on average, respondents said they expect their property to provide funding for almost half (44%) of retirement Megan Jenkins Partner and Adviser at Saltus said “While historically, property has proved to…
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The number of mortgage approvals made to home buyers fell by nearly 10% between June and July, according to Bank of England figures. The figures showed that net mortgage approvals decreased from 54,600 in June to 49,400 in July, while approvals for remortgaging slightly increased from 39,100 to 39,300 during the same period. Net borrowing…
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