November, 2008 news
House prices suffer smallest drop in 12 months
The average house price fell by just 0.4% in November, according to the Nationwide House Price Index.... Read more »
Home loans: early exit can pay off
People who took out a fixed-rate home loan when interest rates were high could save money by applying for a new, cheaper home loan.... Read more »
Britain: 'highest level of personal debt in the world'
Britain is entering the downturn 'with the highest level of personal debt in the world', Conservative leader David Cameron has claimed.... Read more »
Scottish mortgage lending `down`
The decline in mortgage lending in Scotland continued during the third quarter of the year, new figures indicate.... Read more »
Mortgage approvals fall by 8%
New figures from the British Bankers' Association (BBA) showed that the number of mortgage approvals fell in October.... Read more »
Loans: Government may have to intervene
Bank of England Governor Mervyn King has warned that the Government may be forced to intervene directly if banks and other financial institutions do not resume offering 'normal' levels of loans and mortgages.... Read more »
Debt: credit card companies in interest rate talks
Representatives of the credit card industry are meeting with Business Secretary Peter Mandelson and Consumer Affairs Minister Gareth Thomas today to discuss potentially cutting the interest rates credit cards charge.... Read more »
Lender cuts mortgage rates
A UK mortgage lender has announced that it has cut its rates on home loans.... Read more »
Consumers `failing to protect themselves from income loss`
A significant number of UK adults are leaving themselves vulnerable to financial problems, potentially including high-level debt, by failing to secure insurance for loss of earnings or illness.... Read more »
Mortgage providers agree to delay repossessions
Mortgage providers have agreed to wait three months before they start repossession proceedings against homeowners who fall into arrears on their mortgages.... Read more »
Loans to be monitored by Lending Panel
Chancellor Alistair Darling has announced a new banking trade body - the Lending Panel - to monitor loans to households and businesses.... Read more »
Free debt advice
In the Pre-Budget Report, the Government has committed itself to providing free debt advice. ... Read more »
Mortgage possession orders up 24% in year
Ministry of Justice figures show that mortgage possession orders - made by judges in the county courts - were up by 24% in the third quarter of 2008, compared with the same period last year.... Read more »
Banks 'may need extra £110bn for lending'
A think tank has suggested that another £110bn of public money may be needed before banks are in a position to resume normal levels of lending.... Read more »
Petrol prices fall below 90p
The supermarket price war continued to drive down the price of petrol over the weekend, as the price of unleaded petrol dropped below 90 pence per litre.... Read more »
Interest-only mortgages only for the short-term
While interest-only mortgages can help homeowners` cash-flow for the first couple of years, they should not be relied on for much longer than that, an expert has said.... Read more »
When will the mortgage market pick up?
Industry experts are attempting to answer the question "When will the mortgage market recover?".... Read more »
Scheme to underwrite small business loans expected
Small firms are awaiting further action by the Government, designed to help them get competitively priced loans.... Read more »
Tackling Britain's 'debt addiction'
Tackling Britain's 'addiction to debt' depends largely on promoting higher standards of financial literacy among youngsters, the Liberal Democrats have stated.... Read more »
Mortgage arrears `on the rise`
The number of homeowners entering arrears on their mortgages has increased.... Read more »
Debt: bankruptcies and IVAs up in third quarter of 2008
The third quarter of 2008 saw 27,087 individual insolvencies in England and Wales - a rise of 8.8% on the previous quarter, the Insolvency Service has revealed.... Read more »
Mortgage lending up 7% in October
New figures from the Council of Mortgage Lenders (CML) show that overall mortgage lending rose by 7% in October.... Read more »
Loans: base rate may fall further
Economists are predicting a further cut in the base rate at the next Bank of England Monetary Policy Committee (MPC) meeting, following the news that the Bank of England considered an even larger base rate cut earlier this month.... Read more »
Tax debt up 22% in a year
New figures from the National Audit Office have shown that increasing numbers of people and businesses are avoiding or delaying paying their taxes in the midst of the financial crisis, The Guardian reports.... Read more »
Govt `must help finances of the elderly`
In order to combat rising pensioner poverty, the government must ensure that fiscal stimulus reaches the pockets of the elderly, a charity has said.... Read more »
Mortgage lending `up slightly last month`
The amount of money lent by banks and building societies last month rose slightly compared with September`s figures, it has emerged.... Read more »
Brits `running out of cash before payday`
Workers in the UK are running out of money in their current accounts before payday, it has been revealed.... Read more »
Car industry appeals for loans help
The UK car industry has appealed to the Government for access to funding from the special liquidity arrangements that have seen billions of pounds pumped into the nation's financial institutions, according to the Morning Star.... Read more »
Inflation slows to 4.5%
The Office for National Statistics today announced that annual inflation had slowed in October, following reductions in the prices of food and fuel.... Read more »
Mortgage providers don't 'automatically benefit' from rate cuts
Mortgage providers do not automatically benefit from base rate cuts, the Council of Mortgage Lenders (CML) has pointed out.... Read more »
75% of personal loans now require a minimum income
75% of personal loans now require a minimum income, compared with 68% six months ago.... Read more »
Buy-to-let landlords `at risk of negative equity`
A significant number of buy-to-let landlords in the UK are at risk of falling into negative equity, new figures indicate.... Read more »
Mortgage rescue scheme in development
The Government is developing a mortgage rescue scheme for vulnerable households in England and Wales.... Read more »
Loans for West Midlands businesses
The Government plans to provide small and medium-sized companies in the West Midlands with an initial £4 million in loans.... Read more »
Gloomy news for 2009
Unemployment is expected to rise to around 2.9 million in 2009 as the economy shrinks, according to the CBI (Confederation of British Industry).... Read more »
Home sellers plummet by 43%
Rapidly falling house prices have caused the number of people selling their homes to plummet by 43% in a year, according to housing market experts.... Read more »
Workers `risking retirement income due to financial pressures`
A significant number of workers in the UK are cutting back on their pension contributions as a result of current pressures, potentially putting them at risk of financial difficulties in retirement.... Read more »
Some families `may be unable to remortgage`
Households across the UK may be unable to remortgage their properties due to having insufficient equity, a publication has warned.... Read more »
Fixed-rate mortgages drop below 4% milestone
The Bank of England's 'shock' base rate cut seems to be working in borrowers' favour, with a leading mortgage lender offering a fixed-rate mortgage deal with 3.99% interest.... Read more »
Personal loans: no sign of rate cuts
Lenders have still shown no sign of cutting interest rates on personal loans, over a week after the Bank of England's dramatic base rate cut to 3%.... Read more »
Card spending on the rise
New figures have shown a 'surprise' increase in spending on debit and credit cards in the UK, the BBC reports.... Read more »
Fraudulent car loans `on the increase`
The number of fraudulently obtained car loans rose during the first three-quarters of this year compared with the same period last year, it has been revealed.... Read more »
Rising unemployment `hitting Scottish house prices`
An increase in unemployment has contributed to falls in Scotland`s house prices, an expert has said.... Read more »
Repossessions `in nobody`s interests`
The repossession of property from homeowners who fall into arrears with their mortgage repayments due to personal finance problems is not in anyone`s interest, it has been suggested.... Read more »
More mortgage providers pass on base rate cuts
More mortgage providers are passing on the Bank of England's 1.5% base rate cut. ... Read more »
Loans: base rate at lowest level since 1955
Last Thursday's 1.5% base rate cut was a good sign for borrowers and would-be borrowers alike. ... Read more »
Debt makes Britain 'especially vulnerable' to global downturn
Britain's high level of personal debt makes the country "especially vulnerable to the global economic downturn", Liberal Democrat Leader Nick Clegg has warned. ... Read more »
First-time buyer mortgage rates up 0.75% in one year
Mortgage rates for first-time buyers are up 0.75% compared with last year, despite cuts in the base rate, according to a new survey. ... Read more »
LIBOR rate continues to fall
The wholesale cost of borrowing continued to fall this week, raising hopes that interest rates on loans and mortgages could fall in the near future. ... Read more »
Energy prices 'may fall soon'
The price of home energy may be set to fall, after the UK's second-largest energy provider said it may be ready to cut prices in early 2009. ... Read more »
Stamp duty change helps mortgage hunters
Finding a deposit for a mortgage became a bit easier in September, when the government raised the threshold for stamp duty. ... Read more »
LIBOR drops - but will loans?
LIBOR (the London Interbank Offered Rate) is the average rate banks charge each other for loans - and it`s falling steadily. ... Read more »
Unemployment rises
The unemployment rate rose to 5.8% in the three months to September 2008, an increase of 0.4% on the previous quarter, and 0.5% over the year. ... Read more »
Further rate cuts `may be needed`
Further reductions in the UK`s base rate of interest may be necessary, it has been suggested.... Read more »
Removal of tracker mortgages `may be bad news for consumers`
People struggling with their mortgage payments may not welcome the fact that 23 tracker products were withdrawn from the market last week, an expert has said.... Read more »
Home loan figures down
The number of home loans taken out in September this year was significantly lower than during the same month last year, new figures show.... Read more »
Lender cuts rates for borrowers
Borrowers with certain loans from Abbey are set to benefit from rate cuts on a number of its products.... Read more »
Brits `at financial risk due to underinsurance`
Many consumers in the UK may be jeopardising the security of their personal finances and risking future debt - new figures reveal that a significant number are lacking insurance protection.... Read more »
iPod generation being hit by debt problems, expert says
The so-called iPod (insecure, pressurised, overdrawn and debt-ridden) generation, which comprises anyone under the age of 35, is being hit particularly hard by the ongoing financial problems, it has been suggested.... Read more »
Lenders pass on interest rate cuts to mortgage holders
Despite an initial reluctance from the UK`s major lenders, the majority have now passed on the recent interest rate cut to their customers.... Read more »
Essential expenditure `leaving people unable to save`
Due to the high cost of living in Britain, many consumers are currently unable to build up savings, an expert has said.... Read more »
Pensioners `out of pocket over utilities`
Due to their reluctance to swap energy providers, pensioners are paying over the odds for their gas and electricity, it has been suggested.... Read more »
Base rate cut to 3%
The Bank of England today cut the base rate from 4.5% to 3%, in a shock move that exceeded many economists' predictions.... Read more »
House prices show 15% annual fall
House prices fell by 15% in the year to October, according to Halifax, as the UK mortgage market continued to suffer from a lack of demand for and supply of mortgages.... Read more »
New car sales see sharp downturn
Sales of new cars in the UK fell by 23% in the year to October, the sharpest fall in sales in 17 years.... Read more »
More first-time buyers receiving help with mortgage deposit
More and more first-time buyers are relying on some kind of assistance to lay down a deposit for their home, reports the Council of Mortgage Lenders (CML).... Read more »
Consumers need to rely on loans less, expert warns
In order to return to a more stable financial situation, the UK needs to reach a situation where consumers are saving more money and are less reliant on loans and credit, it has been suggested.... Read more »
Lack of mortgages available, expert says
In order to get back on track, the UK`s mortgage market needs to see "mortgage lenders lending", an expert has said.... Read more »
Mortgages: Interest rates 'may not come down'
People looking for a mortgage may have been disappointed to hear a leading banker suggesting mortgage rates might not come down in line with Thursday's expected base rate cut.... Read more »
M&S profits fall sharply
High Street retailer Marks & Spencer has reported a 34% fall in half-year profits - the latest sign that consumer confidence is waning.... Read more »
Lenders raise mortgage rates
Two lenders have raised the rates they charge on their tracker mortgage products, it has emerged.... Read more »
Government: banks must provide more loans
Gordon Brown and Alistair Darling expect banks to act on the commitments made as part of the bank bailout scheme, The Times reports.... Read more »
Petrol prices 'not falling as fast as oil'
Petrol prices are still not falling as fast as the price of oil, even though prices at the pump have recently fallen below £1 per litre, according to The Guardian.... Read more »
Property auctions growing in popularity
Auctions are growing in popularity, according to Savills - and problems in the mortgage market are not dragging down the prices as some might expect.... Read more »
More loans for small businesses?
The Government has announced the creation of a forum to address the topic of loans for small businesses.... Read more »
Gas bills to remain high
The country's largest energy supplier will not promise to lower its prices, despite recent sharp falls in the price of gas. ... Read more »
Loans: Banks must pass on cuts or 'face customer backlash'
Business Secretary Peter Mandelson has warned that banks may face a "customer backlash" if they do not pass on base rate cuts to their loan and mortgage customers, The Times reports.... Read more »
Landlords `may struggle with mortgages as unemployment rises`
If the number of people losing their jobs continues to rise in the UK, buy-to-let landlords could experience increasing problems in terms of tenants not paying their rent, it has been suggested.... Read more »
Falling house prices `bad news for those looking to remortgage`
Consumers looking to remortgage next year may struggle as a result of falls in the value of their properties, it has been suggested.... Read more »
Mortgage approvals up in September
New figures from the Bank of England show a slight rise in mortgage approvals in September, despite remaining near record low levels.... Read more »
Repossession figures `sensationalised`
Figures pertaining to the repossession rate of UK properties have been sensationalised, it has been claimed.... Read more »