Credit, Collections & Insolvency News
Analysis of the latest Bank of England data on average quoted household rates by Freedom Finance has indicated that unsecured personal loan rates are growing at their fastest ever pace. Through the final three months of 2022, £5k personal loans increased by 1.92 percentage points (pp), the biggest ever quarterly increase. It takes the average…
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Nova Credit has announced it has received Financial Conduct Authority (FCA) authorisation permissions in order to provide credit references to operate in the UK. US founded Nova Credit, is a consumer-permissioned credit bureau which it says is on a mission to accelerate financial inclusion for immigrants globally. Nova Credit’s technology unlocks access to over 2…
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A poll by insurer Direct Line has found that 25% of households have no money set aside for emergencies, with 32% saying they have stopped saving due to the rising cost of living. The household which indicated that they do have a savings pot, 47% say they have now stopped adding to it. The survey…
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More than 1.4 million households are facing a steep increase in their monthly outgoings when they are forced to renew their fixed rate mortgages this year according to new Office for National Statistics (ONS) analysis. The research shows that the 57% of fixed rate mortgages coming up for renewal in 2023 are fixed at interest…
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Almost one in five (18%) consumers aged 35-54 think buying a home with a mortgage will be unachievable for them with the average adult believing that the age for financial independence now sits at 29 years old according to research by Forbes Advisor. The research found that over a quarter (26%) of 45–54-year-olds required financial…
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Credit card borrowing rose in November to its highest monthly level since 2004 according to latest Bank of England data. The figures showed individuals borrowed an additional £1.5 billion in all forms of consumer credit, an increase on the £700m borrowed in October, of which £1.2 billion was on credit cards (an increase of £400m…
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Two-thirds of consumers are planning to cut their discretionary spending in 2023, according to KPMG, with a poll showing that just 4% will be able to increase their non-essential spending levels in the coming year. The survey shows that one in ten respondents have no savings, while 43% of those who do have savings are…
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New analysis of national accounts for Q3 showed a slightly bigger 0.3% quarter-on-quarter fall in GDP than initially estimated according to research by EY Item Club. The economy’s performance in Q3 wasn’t helped by another fall in household incomes and an unexpected rise in the household saving ratio. GDP growth was also revised lower in…
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Intermediary Mortgage Lenders Association’s (IMLA) latest report has shown that the mortgage market has remained resilient throughout 2022 with gross lending expected to reach £310 billion this year, slightly above 2021’s strong performance. The figure has been driven by high levels of re-mortgaging, which account for more than a third of gross lending. The buy-to-let…
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The average spend on credit cards dropped by £70 in the space of two months, according to research by FICO for October. The data also showed that average total sales were 5 percent lower than September at £740. The average active balance on credit card accounts also dropped in October to £1,570 – 1.5 percent…
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New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business grew by 7% in October 2022 compared with the same month in 2021. In the ten months to October 2022, new business was 17% higher than in the same period in 2021. The credit card and personal loan sectors…
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Analysis of the latest Bank of England data on average quoted household rates1 from Freedom Finance has shown that the cost of borrowing continues to accelerate placing further pressure on household budgets. Following significant increases in the cost of personal loans in October, this trend continued in November with both £5,000 and £10,000 loans posting…
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Latest UK Finance data has found that despite the continuing collapse in confidence during Q3, consumer spending remained strong overall, although inflation masked weaker activity. The Personal loan borrowing to fund larger purchases fell away, suggesting the “make hay while the sun shines” effects seen in Q2 may have abated. The figures showed that house…
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