Credit, Collections & Insolvency News
New figures released by the Finance & Leasing Association (FLA) show that consumer car finance new business volumes fell in February 2025 by 2% compared with the same month in 2024. The corresponding value of new business grew by 5% over the same period. In the first two months of 2025, new business was 3%…
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New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business grew in February 2025 by 3% compared with the same month in 2024. In the first two months of 2025, new business in this market was 2% higher than in the same period in 2024. The credit card and…
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The Financial Ombudsman Service (FOS) has announced that it expects to resolve 270,000 cases in 2025/26, a 20% increase from the previous year. The FOS’ commitment comes despite recent surges in complaints, most notably the influx of cases related to motor finance commission. These account for nearly half of the current stock of around 190,000…
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This week, the UK’s Supreme Court will hear a pivotal case regarding potential compensation for millions of motorists affected by unlawful hidden commission payments in the car finance sector. Following a Court of Appeal ruling that deemed such payments illegal without buyer consent, lenders, including major banks, have set aside substantial funds for claims that…
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New figures released by the Finance & Leasing Association (FLA) show that consumer car finance new business volumes fell in January 2025 by 3% compared with the same month in 2024. The corresponding value of new business grew by 4% over the same period. In the twelve months to January 2025, new business was 2%…
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New research by Which? has found that car and home insurers are charging annual percentage rates (APRs) equivalent to credit card lenders for customers who pay for cover monthly payments. The research found that the average annual percentage rate (APR) for car insurers charging monthly is 22.84%, while home insurers average 21.59%. The consumer group…
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The Financial Conduct Authority (FCA) has announced the next stage of its review into the motor finance scandal, with the regulator set to consult on an industry-wide redress scheme if the Supreme Court upholds the Court of Appeal’s ruling that commissions were not properly disclosed to customers. The FCA, which has identified widespread failings in…
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The Financial Ombudsman Service (FOS) has reported a record 18,658 new complaints regarding car loans in the last quarter of 2024, surpassing credit cards as the most complained-about financial product. Motor hire purchase deal complaints jumped almost three times to 15,956 cases, followed by disputes about credit cards, current accounts, car/motorcycle insurance and motor conditional…
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Latest data from the Bank of England data has shown that consumer credit borrowing rose sharply to £1.7 billion, indicating financial strain on households. Net consumer credit borrowing by individuals was £1.7 billion in January, up from £1.1 billion in the previous month. Within this, net borrowing through credit cards increased to £1.1 billion from…
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New analysis of 24 million subprime credit applications conducted by Data On Demand in partnership with the University of Salford Business School and Seattle Pacific University has found that young adults and homeowners driving surge in subprime credit, The analysis revealed a significant shift in borrowing patterns, with essential living costs replacing discretionary spending as…
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New figures released by the Finance & Leasing Association (FLA) show that FLA members across the asset finance, consumer finance and motor finance markets provided a record £154.6 billion of new lending in 2024, 2% higher than in 2023. In 2024 £39.7 billion was provided to businesses for investment in machinery, equipment, and vehicles, including…
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New figures released by the Finance & Leasing Association (FLA) show that consumer car finance new business volumes held steady in December 2024 compared with the same month in 2023. The corresponding value of new business grew by 6% over the same period. In 2024 as a whole, new business was 2% lower by volume…
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New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business grew in December 2024 by 11% compared with the same month in 2023. In 2024 as a whole, new business in this market was 2% higher than in 2023. The credit card and personal loans sectors together reported new…
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