Credit, Collections & Insolvency News
New research from Freedom Finance, has indicated the potentially serious impact of credit declines on potential borrowers in the UK is creating application anxiety. Nearly half of all (46%) adults said that they wouldn’t apply again if they were declined for a loan or credit card from their bank. Over a third (36%) said that…
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With the pandemic having accelerated the shift away from face-to-face credit applications, the fraud landscape continues to evolve – and this trend shows no signs of a reversal. Given the inherently remote and anonymous nature of internet-based credit decisioning, this presents higher risks for lenders. The lender landscape has changed too. More consumer payment options,…
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Analysis from Freedom Finance found that more and more people in the UK are taking out loans from Credit Unions as the cost of borrowing reaches new highs. The latest data released by the Bank of England revealed that 1.94 million people in the UK were members of a Credit Union in the second quarter…
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New research from Zuto Car Finance has revealed that even in a cost-of-living crisis, almost a third of consumers (31%) still haven’t looked for financial advice. Just 23% of those surveyed rely on the expertise of a financial advisor and 22% contact their bank first to discuss any financial matters. 12% would immediately seek help…
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Latest Bank of England data shows that the annual growth rate for consumer credit, which includes borrowing using credit cards, personal loans, overdrafts and car finance, increased by 7.2% in September from 7.1% in August, the highest rate since March 2019. The annual growth rate of credit card borrowing was 12.1 percent with outstanding balances…
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New research by TotallyMoney has investigated the gap in personal loan interest rates for those with poor credit scores. The research found that someone with a poor credit record borrowing £5,000 over 3 years might find themselves paying an extra £116.36 per month compared with a low-rate best buy deal. Similarly, a borrower with a…
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A new study from Forbes Advisor has revealed that nearly three-quarters (74%) of British credit card holders are being forced to change their credit card usage amid crippling inflation. Within the survey, respondents were asked specifically how the cost of living crisis affected their credit card activity. In total, more than half (57%) claimed that…
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A worrying mistrust in technology is making some regulated firms vulnerable to financial crime according to SmartSearch. Research by the company has revealed that almost one in five (18 per cent) decision-makers in the legal, property and banking and finance sectors did not trust the technology of electronic verification (EV) software. Five hundred stakeholders, from…
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Analysis of the latest Bank of England figures from Freedom Finance has shown that rates on all major forms of consumer credit rose again in September continuing the upward trend in the cost of borrowing that has persisted all year. Household budgets are already facing a severe winter squeeze as inflationary pressures and the spike…
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UK Finance has shared its latest credit and debit card data which has highlighted an increase in credit card usage in July when compared to 2021. The data showed that there were 343.8 million credit card transactions in July, 9.8 per cent more than in July 2021. The total spend of £18.8 billion was 17.1…
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Lack of transparency means customers could receive very different balance transfer offers to what they applied for according to research by TotallyMoney. Regulators require lenders to only provide 51% of successful applicants the advertised credit card offer. Additionally, they aren’t expected to disclose the potential differences in limits or APRs that may be issued when…
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Over five million families are set to see their annual mortgage payments rise by an average of £5,100 between now and the end of 2024 – with £1,200 of that reflecting higher expectations of interest rate rises since the ‘mini-budget’ according to new analysis published by the Resolution Foundation. With the UK’s low-interest rate era…
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Credit card use by consumers to withdraw cash has increased steadily in the past three months according to latest analysis by FICO. The figures showed that card usage increased by 6.7% and 3.4% in July. Average total sales were £790 in June and July and £810 in August a more than 14 percent increase year…
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