July, 2010 news
Consumers focused on repaying debt in June
Borrowers repaid more consumer credit than they took out in June, according to the latest `Lending to individuals` report from the Bank of England. ... Read more »
Holidaymakers actively spending less on holiday to avoid debt
According to a new survey by insolvency trade body R3 "which looks at how the economic downturn is affecting holidaymakers` habits", 38% of Brits are actively trying to spend less on their holidays this year, headlinemoney.co.uk.... Read more »
Gross mortgage lending by mutuals 19% higher in June
According to figures from the BSA (Building Societies Association), gross mortgage lending by mutuals was 19% higher in June than it was in May, headlinemoney.co.uk reports. ... Read more »
Going on holiday? Don`t forget insurance.
Many holidaymakers neglect to protect the electronic goods they take with them, insurance company AXA has warned.... Read more »
Concern over energy debt
uSwitch.com has warned that new energy debt figures from Ofgem are the `tip of an iceberg`, headlinemoney.co.uk reports.... Read more »
Spending on credit cards down 7%
The latest consumer credit figures from the Finance & Leasing Association (FLA) have revealed that spending on `short-term credit arrangements`, such as credit cards, fell by 7% in the 12 months to May, compared with the previous year, headlinemoney.co.uk reports.... Read more »
Bank rate means most savings accounts `pay below inflation`
An article on the BBC News website highlights how many savers are having trouble finding a savings account that offers good returns on their deposits. ... Read more »
More people looking for advice on home loans
24% more consumers sought advice on home loans in the first half of this year than in the same period a year earlier, according to figures from Unbiased.co.uk. ... Read more »
Base rate predictions and the cost of debt
For anyone carrying a debt like a mortgage, the Bank of England`s base rate matters. So people all over the country will pay close attention to predictions about the base rate - whether rising inflation will lead the Bank`s MPC (Monetary Policy Committee) to increase it, or whether the economy`s problems (and worries about deflation) will lead them to leave it at 0.5%.... Read more »
June: fall in mortgage lending
According to figures from the British Bankers` Association (BBA), mortgage lending by the major UK banks fell in June, the BBC reports.... Read more »
Debt: unauthorised overdrafts cost an average of 167% a year
According to a report from SG Hambros, customers who fall into debt by entering an unauthorised overdraft are being charged an average of 167% a year (once fees and penalties are taken into account), the Guardian reports.... Read more »
Mortgage lending `bounces back` in June
According to official figures from the Council of Mortgage Lenders (CML), mortgage lending `bounced back` to a six-month high during June, the Telegraph reports.... Read more »
Scottish insolvencies see fall on last year
Scottish insolvencies were down 15% in the first quarter of 2010/11, compared with the same period a year earlier, according to new figures from Accountant in Bankruptcy (AiB) - suggesting that fewer people are experiencing serious problems with debt.... Read more »
Parents use credit cards to spread the costs of summer
According to new research based on 2,000 UK parents for The Nectar Credit Card by American Express, 14% of parents use a credit card to spread the cost of day trips and excursions in summer, headlinemoney.co.uk reports.... Read more »
Home loan lending reaches six-month high in June
According to figures from the Council of Mortgage Lenders (CML), home loan lending reached a six-month high in June, `as the market enjoyed its traditional season boost`, the Telegraph reports.... Read more »
Debt: surge in number of bankruptcies amongst women
The number of bankruptcies amongst British women has increased almost fivefold in the last ten years, according to new figures from the Insolvency Service. ... Read more »
Small Scottish firms `relying on credit cards`
A third of Scotland`s small and medium companies are relying on credit cards to carry out their business.... Read more »
5 million Britons use credit card to pay for holiday
According to research carried out by moneysupermarket.com, over five million Britons going on holiday abroad this summer plan to pay for their trip using a credit card, headlinemoney.co.uk reports.... Read more »
Pensions: women over 50 could be risking debt problems
Only 38% of women over the age of 50 are saving adequately for their retirement, according to Scottish Widows - and they could be risking problems with debt in later life as a result. ... Read more »
MPC member calls for Bank rate rise
Bank of England Monetary Policy Committee (MPC) member Andrew Sentance called for a rise in the base rate in July, minutes from July`s MPC meeting have revealed.... Read more »
FCO stresses need for travel insurance
Many Britons don`t arrange travel insurance before they go abroad, the Foreign and Commonwealth Office (FCO) has said, adding that everyone should make sure they have the right insurance before they leave the country.... Read more »
Britain`s `real debt` is £78,000 per family
Research by the Centre for Economics and Business Research (CEBR) has found that the `true scale` of Britain`s national debt is actually £2 trillion - which is more than twice the amount claimed to be the official figure, the Daily Mail reports.... Read more »
Self-certification mortgages could be banned by FSA
Self-certification mortgages, which allow applicants to self-declare their income, may be banned by the FSA (Financial Services Authority), the Telegraph reports.... Read more »
IVAs to be considered in Ireland
Eamon Ryan, the Minister for Communications, Energy and Natural Resources in Ireland, has said that the `system of IVAs` (Individual Voluntary Arrangements) in Britain was being considered in the country `as a less restrictive alternative to existing bankruptcy laws`, the Sunday Business Post Online reports.... Read more »
`Over a decade` to repay student debt
Around half of students think it`ll take them more than a decade to repay their student debt. This is one of the findings of a survey by the Association of Investment Companies (AIC). ... Read more »
New mortgage rules proposed
The Financial Services Authority (FSA) has proposed a range of measures which would help ensure that people don`t take on mortgages they can`t afford.... Read more »
Many Britons have a `lax attitude to debt`
Many Britons display a `lax attitude to debt`, according to Tim Moss, head of loans and debt at moneysupermarket.com.... Read more »
Why you should pay down debt
Just before the Bank of England announced that it would keep the base rate at its all-time low of 0.5%, an article about paying down debt (clearing a debt more quickly than expected) appeared on The Telegraph`s blog section. ... Read more »
FSA outlines proposals for new home loan rules
The Financial Services Authority (FSA) has outlined proposals to ensure that borrowers can afford the home loan they are offered. ... Read more »
Bankrupts `having trouble finding basic bank account`
Just two out of 17 banks in a study by Citizens Advice allowed people who had recently been made bankrupt to open a basic bank account. ... Read more »
32% of adults `will take on debt to get away this summer`
Ten million adults (32%) plan to get into debt to fund their summer holiday this year, according to a survey by protection specialist Bright Grey. ... Read more »
Debt: North/South divide in insolvency levels
There were clear differences in insolvency levels between different areas of England and Wales in 2009, according to new data from the Insolvency Service.... Read more »
Mortgage interest `taking up lowest-ever proportion of incomes`
Mortgage holders who moved home in May saw average interest payments account for the lowest proportion of their income in 35 years, according to the Council of Mortgage Lenders (CML).... Read more »
Home loan rate awareness fears
Following a survey by the Consumer Financial Education Body (CFEB), there are now fears about home loan awareness - after it was revealed that three quarters of those with a home loan don`t actually know how a 1% increase in interest rates would affect their budget, the BBC reports.... Read more »
Money and debt worries `harming nation`s health`
A lack of understanding and control over personal finances is harming the wellbeing of up to 42 million UK adults, according to a report by AXA. ... Read more »
Brits less protected against debt after `raiding savings pots`
Britons are increasingly `raiding their savings pots` to cover their costs, according to research by Birmingham Midshires.... Read more »
Equity release being used to pay down debts
According to charity Age UK, older people are freeing up money to pay off their debts using equity release, the Guardian reports.... Read more »
Mortgage holders unaware of potential impact of interest rate rise
According to the newly formed Consumer Financial Education Body (CFEB), around 74% of people with a mortgage said they did not know how a 1% increase in the Bank of England`s base rate would affect their monthly outgoings, The Telegraph reports.... Read more »
Cashback credit card users `could earn hundreds a year`
Research by moneysupermarket.com has found that people who use a cashback credit card and put their salary into an interest-bearing account could earn a significant `bonus` every year. ... Read more »
Indebted graduates without 2:1 degree will struggle to get a job
According to an article in the Independent, graduates without a `top-level` degree pass will struggle to find a job this summer. ... Read more »
Parents `take on loans to cover summer holidays`
Many parents will borrow money to cover the cost of looking after the kids during the summer holiday, according to a survey for charity Elizabeth Finn Care.... Read more »
Brits `could save £132 a year on home insurance`
Britons waste a combined £937m every year by allowing their home insurance policy to automatically renew, research by Moneysupermarket.com indicates.... Read more »
Families face summer holiday debt
Over a third (38%) of parents say they will end up in debt as a result of looking after their children during the summer holidays, a new survey has found.... Read more »
Mortgages: need to act now?
Homeowners have been warned that finding a new mortgage could become more difficult in the coming months, The Telegraph reports.... Read more »
Lenders warn of a home loan `squeeze`
Lenders have warned that people looking to buy a house may face a `fresh squeeze` on home loans over the next three months, according to the Bank of England`s Credit Conditions survey.... Read more »
Debt risk from using mobile phone abroad
Mobile phone users could incur heavy charges just by having their phone switched on abroad, according to uSwitch.com - and could get into debt as a result.... Read more »
Indebted graduates struggle to find work
A study by High Fliers research has found that indebted graduates are struggling to find work, as up to 270 university leavers are chasing every job vacancy, the Daily Mail reports. ... Read more »
Mortgage market remains `stagnant`
Figures released by the Bank of England have shown that the number of mortgages approved in May remained `broadly unchanged`, as activity in the housing market failed to pick up, the Guardian reports. ... Read more »
Annual energy statements could help reduce debt on bills
As of today, energy suppliers have until 1st December to provide customers with a new annual energy statement - which uSwitch.com says could save them as much as £1,000 on their bills over the next five years. ... Read more »