£101m of fraud prevented by finance industry funded police unit

A specialist police unit which targets the organised criminal gangs behind fraud prevented a record £101 million from being stolen in 2021, the highest amount in the unit’s 20-year history. The Dedicated Card and Payment Crime Unit (DCPCU) which is funded by the banking and finance industry, is made up of officers from the City…

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87% of 11-18-year-olds have limited knowledge about managing money

17th May 2022 Consumer Lending | #featured

New research by Yorkshire Building Society has found that nearly nine out of ten (87%) 11-18-year-olds have limited knowledge about managing money with 14% say they know nothing at all about money management. Only around a third (36%) of 11-18-year-olds in the UK surveyed say they have learnt about finances at school despite it being…

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Second charge mortgages grow by 42%

New figures released by the Finance & Leasing Association (FLA) have shown that second charge mortgage new business volumes grow by 42% Commenting on the latest new business figures for the second charge mortgage market, Fiona Hoyle, Director of Consumer & Mortgage Finance and Inclusion at the Finance & Leasing Association (FLA), said “New business…

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Asset finance new business grows by 13%

New figures released by the Finance & Leasing Association (FLA) show that total asset finance new business (primarily leasing and hire purchase) grew in March 2022 by 13% compared with the same month in 2021. In Q1 2022 as a whole, new business was 7% higher than in the same quarter in 2021. The IT…

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Households will pay £858m more in interest after rate rise

Analysis of Bank of England data by Mazars shows UK households are currently paying £18.3 billion annually in interest payments on floating rate debt that are likely to be immediately impacted by an interest rate rise. Thi includes floating-rate mortgages, credit card debt and other unsecured personal lending. Consumers will be hit by further rises…

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2.5m households fall into fuel stress with another 2.5m to follow in October

The number of English households in ‘fuel stress’ will double from 2.5 to 5 million as a result of the price cap rising from today (Friday), with another 2.5 million households at risk in October if the price cap rises again to £2,500, according to new Resolution Foundation research. The research shows that low-income households…

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Half of young people think the current credit score system is flawed

1st April 2022 Consumer Lending | #featured

More than half (54 per cent) of young people, aged 18-34, think the current credit score system is fundamentally flawed according to new research from MyLifeKit. More than 44 per cent of all other respondents, aged 35 and older, also agreed that credit scores are flawed, contributing to an average of 46 per cent of…

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Credit card borrowing hits record high

Latest figures from the Bank of England (BoE) has indicated that consumers borrowed a net £1.5 billion on credit cards in February, the highest monthly amount since records began in 1993. The figures showed that lending to consumers rose by the most in nearly five years in February, jumping 90% compared to January. Consumer credit…

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Lack of support for low-income families will see 1.3m pushed into absolute poverty

The Chancellor’s failure to support families through the cost of living crisis will mean that absolute poverty is expected to rise by 1.3 million people next year according to the Resolution Foundation’s analysis of Spring Statement 2022. Inflation Nation shows that faced with an unprecedented squeeze on family’s household finances and a significant boost to…

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CMA criticises banks over Open Banking breaches

The Competition and Markets Authority (CMA) has criticised Lloyds and Barclays for mistakes made when giving information to price comparison websites, potentially misleading customers and breaking open banking rules. The CMA outlined a number of instances where the two banks breached the 2017 Retail Banking Market Investigation Order in relation to open APIs. The CMA said both…

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FCA confirms FOS compensation limit increase

The Financial Conduct Authority (FCA) has confirmed that the Financial Ombudsman Services (FOS) compensation limit will increase from £350,000 to £375,000 from 1st April. The limit will change to £375,000 for complaints referred after this date about acts or omissions by firms on or after 1st April 2019. For complaints before 1st April 2019, the…

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Bank of England considers mortgage affordability rule changes

Rules introduced in 2014 by the Financial Policy Committee (FPC) to restrict the amount mortgage applicants could borrow may be reversed following a review by the Bank of England (BoE). Since 2014, Banks have had a limit on the number of mortgages they can offer where someone is borrowing more than 4.5 times their salary.…

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Banks urged to remember pressures that consumers and businesses face

14th July 2021 Banking and Loans | #featured

The Bank of England’s latest Financial Stability Report which sets out the Financial Policy Committee’s (FPC) agenda has urged banks to remember the pressures consumers and businesses still face despite the rapid rollout of a Covid-19 vaccine. The FPC also said that while businesses and individuals have emerged largely stable from the pandemic, there are…

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