Credit, Collections & Insolvency News
New research by lender, Together has found that over half (53%) of adults with a credit blip have revealed that it has impacted their ability to get a mortgage, with the figures rising to 86% of those aged 18-34. The specialist lender’s survey also shows that among those who’ve had a mortgage application rejected, a…
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Rates on consumer credit products either remained steady in May or registered small declines, according to analysis of the latest Bank of England data from Freedom Finance. The figures showed that on average quoted household interest rates came despite market volatility leading to disruption in the mortgage market with widespread product withdrawals and notable increases…
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New research by Oxford Economics has forecasted that interest payments on mortgages, credit cards, car loans and other borrowing will grow to 5% of household income by the end of this year. The increase is up from 1.5% at the end of 2021, and the highest proportion since the end of 2008. The rise is…
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HSBC has withdrawn all residential, buy-to-let and business mortgage deals after being overwhelmed by a rush of customers seeking to lock-in deals before rates rise. The lender, which accounts for almost a quarter of the home loans market, said it would relaunch its products next week. Recent rises in yields on government debt have prompted…
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New research from interactive investor shows that younger workers on an average salary for their age would take 13 years from age 21 to save enough for a 10% deposit on an average-priced house costing £285,000, taking them until 34 years old, assuming they saved 10% of their take-home pay. In contrast young workers in…
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Since the onset of the cost-of-living crisis, 6% of people have started borrowing for the first time, and 8% are borrowing more according to research by Hargreaves Lansdown. The research found that some groups are more likely to have stepped up their borrowing – including younger people, women, renters, and parents. Meanwhile, other groups have…
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New research by Equifax has found that over 367,000 fixed-rate mortgages are due to come to the end of their five-year deals over the next year. More than 70% of open mortgages are currently on a fixed-rate deal . The analysis also found that the majority of which have an average outstanding balance of £170,000. This…
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New figures from the Building Societies Association (BSA) has found that mortgage lending by building societies was down nearly a quarter in the first three months of 2023 compared to the same period in 2022, reflecting falling demand in the housing market. The figures showed that gross lending in Quarter 1 (Q1) 2023 was £13.9…
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Research by consumer lender Fluro found that there has been a 22% uplift in consumers making loan requests during April 2023, compared to the same period last year. As the cost of living squeezes personal finances, growing numbers of consumers are looking to consolidate their debts or shift spending behaviours. Compared to the same period…
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The UK economy has performed better than expected so far this year, and should avoid recession, leading the EY ITEM Club to upgrade its 2023 UK bank lending forecast for households and businesses. Total loans to households and businesses are expected to rise 1.2% this year (a net increase of £29 billion), improving on February’s forecast which…
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The Competition and Markets Authority (CMA) is to investigate whether a ‘failure in competition’ means consumers are being overcharged for groceries and fuel. The CMA says that while the evidence shows that the majority of fuel price increases are due to global factors, such as the Russian invasion of Ukraine, indications are that higher pump…
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The Bank of England has raised its key interest rate by a quarter of a percentage point to 4.5%, marking its 12th consecutive rate rise. The BoE revised up its growth forecasts from gloomy numbers released in February, but it also now expects inflation to be slower to fall than it had hoped, mostly due…
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New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business fell by 4% in March 2023 compared with the same month in 2022. In Q1 2023, new business was 2% lower than in Q1 2022. The retail store and online credit sector reported new business up by 5% in…
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