June, 2010 news
Borrowers took on more debt in May
Borrowers took on £1.5bn more debt than they paid back in May, according to the latest `Lending to individuals` report from the Bank of England. ... Read more »
Banks to cut ISA transfer times
Banks are set to cut the maximum amount of time it takes to transfer cash between different ISA providers, the British Bankers` Association (BBA) reports. ... Read more »
Homeowners `failing to clear` mortgage debt
A report from Capital Economics has suggested that despite interest rates remaining historically low, homeowners are failing to reduce their mortgage debt as much as predicted, the Telegraph reports.... Read more »
Negative equity home loans to be launched in Ireland
Three Irish lenders are about to launch `negative equity` home loans to allow people who owe more than their property is worth to move home, the Guardian reports.... Read more »
Most travel insurance policies `don`t cover airline failure`
Over three quarters of travel insurance policies don`t cover scheduled airline failure, according to a report from financial research company Defaqto. ... Read more »
Debt: 10% increase in insolvencies predicted for 2010
A record 146,948 Britons will become insolvent in England and Wales this year, according to a new survey - a 10% increase on 2009`s figure.... Read more »
Home loan approvals reach highest level since January
Figures from the British Bankers` Association (BBA) have revealed that the number of loans approved for house purchase increased to its highest level so far this year, the BBC reports. ... Read more »
Debt: new rules to protect struggling homeowners
The Financial Services Authority (FSA) has outlined new rules that would protect those struggling with their mortgage debt, the BBC reports.... Read more »
New protection for struggling mortgage holders
Struggling mortgage holders will benefit from additional protection once new rules are put in place. Outlined by the Financial Services Authority (FSA), the rules aim to help people who`ve fallen behind on their mortgage payments.... Read more »
Lloyds TSB cuts cost of unplanned overdraft debt
Lloyds TSB is to cut the cost of unplanned overdrafts for most of its customers by more than half, in a move that could prompt other banks to follow suit. ... Read more »
BBA: Households continue to repay debts
Figures from the BBA (British Bankers` Association) have shown that although the number of mortgages approved for house purchase has increased for the third month in a row, households continued to pay off their unsecured debts in May.... Read more »
Number of mortgages approved continues to rise
According to figures from the British Bankers` Association (BBA), mortgage lending in the UK `continued its spring rise into May`, the BBC reports.... Read more »
Budget pros and cons for people in debt
The coalition government`s first Budget, announced yesterday, holds both good news and bad news for people in debt.... Read more »
Mortgage lending from banks up 4.3% in May
Net mortgage lending was up 4.3% in May, compared with a year earlier, according to new figures from the British Bankers` Association (BBA).... Read more »
Emergency Budget: Government warned against `senseless cuts`
The coalition Government has been warned against making `senseless cuts` in spending ahead of today`s Emergency Budget, the BBC reports.... Read more »
Home loans up 7% in May
Gross mortgage lending came to an estimated £11.3bn in May, according to new figures from the Council of Mortgage Lenders (CML).... Read more »
`Sports-related mishaps` call for adequate insurance
Sports enthusiasts should make sure they are well insured as the summer`s sporting events take place and sports fans all over the country `emulate their favourite football and tennis stars`, according to Halifax Home Insurance.... Read more »
New mums `forced back to work by debt`
Debt and other financial worries are forcing new mums back to work early, according to research by uSwitch.com.... Read more »
Gross mortgage lending rose by 7% in May
Gross mortgage lending came to an estimated £11.3bn in May, according to the Council of Mortgage Lenders (CML). ... Read more »
Only half of struggling borrowers aware of IVAs
Just half (51%) of people struggling with debt are aware of IVAs (Individual Voluntary Arrangements), according to a report from insolvency trade body R3.... Read more »
7% of struggling borrowers `take on debt from loan sharks or doorstep lenders`
Around 7% (67,000) of people struggling with their debts say they have contacted a `loan shark` or doorstep lender, research by insolvency trade body R3 has found. ... Read more »
No cap for payday loans
The OFT (Office of Fair Trading) has decided there shouldn`t be an interest rate `cap` on payday loans and other kinds of high-cost credit.... Read more »
44% of struggling borrowers `don`t think they need help`
Over four in ten (44% of) people who admit to struggling with debt have not sought advice because "they do not believe their problem is big enough to need help", according to R3.... Read more »
Mortgage cap would change housing market
What would happen if the Bank of England introduced a `mortgage cap`, restricting the amount that people could borrow?... Read more »
One in ten `would use loan to pay for holiday`
10% of people would take out a loan to pay for their holiday, according to research by Lonely Planet. ... Read more »
Festival-goers should check insurance cover
Music festivals can be hotspots for theft, and festival-goers should make sure their insurance adequately covers them for this, an article in The Independent reminds us.... Read more »
More young people heading for debt problems than older peers
Young people in debt are far more likely to leave bills unopened and avoid their creditors than the older generations, a report from insolvency trade body R3 claims.... Read more »
Brits `more likely to change football team than bank account`
Brits are more likely to switch their allegiance to a football team in the World Cup than change bank account, according to research by The Co-operative Bank.... Read more »
1 in 5 turning to debt `to stay afloat`
Almost 1 in 5 people are turning to debt just to stay on top of their living costs, according to a poll by uSwitch.com, while 1 in 7 are struggling to make repayments to their debts. ... Read more »
Cost of mortgage debt `at six-month low`
Average mortgage rates are at a six-month low, according to research from Countrywide Mortgage Services.... Read more »
Average mortgage rate `at six-month low`
The average interest rate on a mortgage is at the lowest level since December last year, the Financial Times reports.... Read more »
Debt and holidays - what would you do to get away?
Holidays are an important part of life. For millions, a holiday is such an essential part of the yearly programme that they`d be prepared to get into debt to pay for it.... Read more »
Loans: base rate stays at 0.5%
As expected, the Bank of England has decided to leave the base rate at its all-time low of 0.5%.... Read more »
Universities minister: `System in need of radical change`
The universities minister, David Willets, has said that the university system `is in need of "radical change" to provide a better deal for taxpayers and students`, the BBC reports.... Read more »
Cost of fixed-rate mortgages continues to drop
According to figures from the Bank of England, the cost of short-term fixed-rate mortgages dropped to a record low in May, as `competition continued to return to the market`, The Telegraph reports.... Read more »
Motorists `driving less to cut back on costs`
Nearly a third (29%) of motorists are attempting to use their car less to cut back on costs, according to research from the AA.... Read more »
Young adults `lead the way on savings`
Adults aged between 18 and 34 are `leading the way` on savings, with people in this age group saving 16% more than the national average, according to Santander.... Read more »
Bank of England meets to discuss base rate
The Bank of England Monetary Policy Committee is meeting today to discuss its next decision on the base rate, which it will announce on Thursday.... Read more »
Borrowing and saving levels fall
According to unbiased.co.uk, savings fell drastically in mid-2008, from around £39bn per quarter to £20bn, and they haven`t made a full recovery since - with the latest figures showing people are now saving just over £16bn, headlinemoney.co.uk reports.... Read more »
£37 million taken out in loans for education
Borrowers took out a combined £37 million in personal loans for education in the year to February 2010, according to estimates by Sainsbury`s Finance.... Read more »
Number of travel insurance policies `on the rise`
The number of available travel insurance policies has increased by 9.5% over the last year, according to research from Defaqto.... Read more »
Osborne plans to `emulate Canada` to tackle UK debt
The Chancellor, George Osborne, will announce plans to `eradicate` Britain`s budget deficit and tackle the national debt by `emulating` Canada, where borrowing was curbed in just three years following spending cuts of 20%, the Telegraph reports.... Read more »
Mortgages: what lies ahead?
What lies ahead for the mortgage market? According to Halifax, house prices fell by 0.4% last month - although Nationwide says they rose by 0.5%.... Read more »
Student debt to rise?
The amount of debt which students take on at University will rise if recent recommendations are put into action.... Read more »
Increase in home loan approvals
According to figures released by the Bank of England, the number of home loans approved in the UK reached its highest level in four months in April - but economists have predicted that the housing market will continue to struggle, the Telegraph reports.... Read more »
More consumer debt repaid than taken on in April
Net consumer credit fell in April, as consumers repaid more debt than they took on - for the first time since last November.... Read more »
Borrowers to benefit from debt repayment change
MBNA, one of the country`s largest credit card issuers, has announced it will change the way debt repayments are `allocated` to borrowers` credit cards from 1st September this year - several months before the voluntary end-of-year compliance deadline agreed by the card industry, the Guardian reports.... Read more »
Mortgage approvals rise
According to official figures from the Bank of England, UK mortgage approvals increased to the highest level in four months in April - but economists have warned that the housing market will struggle, the Telegraph reports.... Read more »
Bank of England: greater focus on repaying loans in April
Net consumer credit fell in April, according to new figures from the Bank of England, as consumers repaid more debt than they took on - for the first time since last November.... Read more »
Insurance warning on driving other people`s cars
Research by Confused.com has found that many drivers mistakenly believe they are insured to drive other people`s cars.... Read more »
Number of middle class people in unmanageable debt soars
Research by credit agency Experian has found that the number of `middle class` people declared insolvent because they were struggling with unmanageable debts soared during 2009, the Telegraph reports.... Read more »
86% `reviewing savings while rates are low`
86% of savers feel that low interest rates make it more important for them to review their savings, according to Fairinvestment.co.uk.... Read more »
Low fixed mortgage rates `not encouraging borrowers`
Few homeowners are taking up fixed-rate mortgage deals while interest rates on variable-rate mortgages remain low, according to research from Moneyfacts.... Read more »