News
BBA Loses PPI Judicial Review
Banks have lost a crucial High Court judicial review into the future of payment protection insurance (PPI) reclaiming. The British Bankers' Association (BBA) trade body failed to overturn Financial Services Authority (FSA) rules that force banks to contact and compensate those mis-sold PPI – to cover loan and credit card payments if you cannot work – even where no complaint has been made. However, the B...OFT shuts unlicensed websites to protect borrowers
The OFT today announced the closure of 19 unlicensed lead generation websites. Lead generation businesses source information from people looking for credit and sell this data on to other businesses. The websites targeted people with disabilities, those connected to the military and people with generally limited access to credit. An OFT investigation found they were unlicensed and therefore in breach of the Consumer...The slippery road to a debt disaster
New research from Shelter, the homeless charity, should give us pause for thought, suggesting, as it does, that as many as 1 million people have used their credit cards to pay mortgage bills or rent demands in the past year. The charity professes itself shocked - and you can see why. The cost of credit card interest is, on average, something in the region of three times the price of a mortgage. So switching home loan...Mortgage Demand Jumps
Mortgage lending in November was at its highest monthly level for nearly two years, according to new figures from the Bank of England. The latest credit conditions survey from the Bank of England shows 60,518 new mortgages written in November 2009, the highest number of loans made to individuals in one month since March 2008. November's total net lending to individuals secured on dwellings rose by £1.5billion...Houseing Affordability 'Improving'
Housing affordability has improved significantly for first-time buyers over the last year, it has been revealed. Figures compiled by Halifax revealed that in 2009, people on average earnings could afford to purchase property in 39 per cent of local authority areas in the UK, compared to just six per cent in 2007. The proportion of disposable earnings that first-time buyers are required to dedicate to their mortgage p...Britain 'could see return of affordable mortgage deals in 2010'
The UK could see the return of affordable mortgage deals over the coming year. This is the opinion of Katie Tucker, technical manager at mortgageforce, who said loan-to-value ratios are already improving and are likely to get better. "We will start seeing decent 90 per cent deals at an affordable level - around five per cent - from most lenders," she commented. Ms Tucker noted that mortgage providers will begin compe...Bank charges test case dropped by regulator
The Office of Fair Trading (OFT) has decided to drop its investigation into the fairness of bank overdraft charges. It follows last month's Supreme Court ruling that the OFT could not use part of the unfair contract regulations to decide if bank charges were unfair. However, the OFT said it still had "significant concerns" about the way banks operate current accounts. More than a million refund claims that have bee...Teenagers in fear of parents' debt
Teenagers in the UK are currently a debt-fearful lot, a recently released survey showed. More than half of teenagers are entertaining the worry that their parents might get into debt because of extra spending in the run-up to Christmas. The new report by Barnado's also showed that girls were more worried than boys about owing money themselves. The study conducted a survey of 1,000 teenagers and the results revealed t...'Logbook loans' may be outlawed
A form of secured borrowing known as logbook loans, or bills of sale, may be outlawed under government proposals. The department for business innovation and skills (BIS) is consulting on plans to ban what it calls the "archaic" and expensive method of borrowing. More than 1,000 people have complained to the Office of Fair Trading about these loans in the past four years. The loans are usually secured against the va...Mortgage lenders 'too fast to repossess' homes
Lenders have failed to exhaust all possible ways of keeping people in their homes in a third of repossession cases, a report by charities has said. Mortgage providers are expected to use repossession only as a last resort under legal rules. But judges did not always step in to ensure the protocol was followed, said Advice UK, Citizens Advice and Shelter. The charities did point out that some support packages for st...Govt takes on £167bn of RBS foreign bad debt
The Government has taken on as much as £167bn of RBS' foreign debt as part of its inclusion into the Asset Protection Scheme. According to The Telegraph, only £114.5bn of the entire £281.9bn of debt entered into the scheme by the bank was originated in the UK. The debts taken on by the Government include £75.4bn of EU debt, £43.6bn of US debt and £48.4bn of "other" foreign debt. Th...Pre-Budget report: Will anyone lift Britain out of the debt crisis
For every £5 the Government spends this year, it will raise less than £4 in tax revenue, an almost unprecedented 25 per cent difference between what the Treasury collects and what it spends. It doesn't take Charles Dickens to tell us that the net result of this situation is misery. So what are the political parties proposing to do about this untenable fiscal situation? We will find out the Government's r...Credit card debt cases face showdown
Legal test cases at the end of this month will affect the enforceability of hundreds of millions of pounds worth of credit card debts and other loans. Five days have been set aside at the High Court in Manchester to hear 12 separate cases that will help to determine a variety of legal issues under the Consumer Credit Act (CCA). Several are being brought on behalf of clients of a prominent claims management company, ...Bankruptcy process to be sped up
A plan to speed up the bankruptcy process in England and Wales has been published by the government. It proposes letting people apply to become bankrupt by post or online, instead of going to court. The Department for Business, Innovation and Skills (BIS) said this would help people in debt and cut court costs. Government research has found that debtors sometimes have to wait three months for their applications to ...Quarter of Brits hiding debt problems from their family
A new study carried out by the insurer Axa has shown that 40 percent of Britons would lie about their debt problems rather than reveal the truth about their financial situation. Around 24 percent of people surveyed revealed that they were hiding debt built up from overdrafts, credit cards, store cards or loans from their family, friends and even partners. The average person owes £4,096 of hidden debt and the Ax...Personal insolvency rises by 28%
A record number of people were declared insolvent in England and Wales in the third quarter of 2009, according to figures from the Insolvency Service. There were 35,242 personal insolvencies, up 28% from the same period last year and an increase of 6.6% on the previous three months. This extended the record number recorded earlier this year. But there was better news for business, with 4,716 company insolvencies, d...Court lets woman off £8,000 loan
A decision by a county court judge could mean thousands of borrowers being able to renege on their debts. Judge Jacqueline Smart at South Shields county court has decided that the MBNA credit card company cannot demand the repayment of a customer's debt. It tried to force Mrs Lynne Thorius to repay the £8,000 she owed on her card. But the Judge decided there had been an unfair relationship between Mrs Thorius...Online gambling tempts students further into debt
Students are resorting to online poker to pay off college loans, ending up deeper in debt, a gambling advisory service is warning. Young students, away from home for the first time and alone in their rooms with a laptop, are increasingly being tempted onto betting sites, according to Gamcare. Many are particularly vulnerable because they possess poor financial skills but try to copy mathematics students whose skills ...Could debt management reduce car crash fraud?
Many of Britain's road users would consider acting fraudulently in order to secure some extra cash to help survive the recession. That is according to recent research, which has revealed that more than a million of the UK's drivers would think about committing motor insurance fraud in order to get some extra money. The large number of people willing to break the law highlights the poor financial position many find t...RBS restricts credit cards to existing customers
Royal Bank of Scotland has closed its credit cards to people who do not bank with the group as the taxpayer-backed bank fights against bad debts. The bank will now accept credit-card applications only from existing RBS and Natwest customers with a current account with the bank. The move does not apply to its Black or Private cards. The decision is seen as a blow for consumers as more borrowers look to switch their ...Middle-class life and debt, even on a good salary
High earners are struggling with debt as much as people on low incomes, according to financial experts and advisory charities. The withdrawal of easy credit as a result of the credit crunch has forced even those earning six-figure salaries to seek help with their debts, one debt management company says. Nick Pearson, director of external affairs for Baines and Ernst, a company that sets up individual voluntary arrang...Bankruptcies rise among over-45s
The over-45s are experiencing the biggest rise in bankruptcies as multiple marriages and falling house prices take their toll on people's finances, it was claimed today. The number of individuals in that age group going bankrupt increased by 124% between 2004 and 2008, rising from 10,600 to 23,800, according to research by accountancy firm Wilkins Kennedy. Over the same period the total number of bankruptcies rose by...Bank figures show the first drop in consumer debt
The amount of consumer debt in the economy fell in July for the first time since records began in 1993, it emerged. Figures published by the Bank of England revealed that personal borrowing fell by £600 million in July, mainly because consumers repaid about £418 million more from their mortgages than was advanced during the month in home loans. There was also a net repayment of consumer credit of £...Neil Morrissey 'opts for IVA to repay £2.5m'
Neil Morrissey, the star of the comedy show Men Behaving Badly, is millions of pounds in debt after a property scheme in which he invested collapsed, it was reported at the weekend. The actor, who lives in Crouch End, north London, said he lost £2.5m after investing in a string of hotels and pubs. He told the News of the World he would not file for bankruptcy and intended to pay his creditors in full. "Bank...UK repossessions eased in spring
The number of homes repossessed in the UK fell 10% in the second quarter of the year compared with the previous three months, lenders say. But the 11,400 homes repossessed was a rise of 14% compared with the same period the previous year, the Council of Mortgage Lenders (CML) said. The group said early advice for struggling owners, low interest rates and tolerant lenders were helping. But rising unemployment could ...'Misleading' debt firms shut down
One hundred companies offering to write off debts or secure personal injury compensation have been shut down by the Ministry of Justice since April 2007. MoJ spokesman Kevin Rousell said they had been guilty of making misleading claims and using high-pressure sales tactics to get people to pay huge fees. "People desperate for a way out of their financial troubles can be vulnerable," he said. Consumers were warned t...Call to regulate doorstep lenders
Children's charity Barnardo's is calling for an investigation into the methods used by high-interest lenders. It says new regulation is needed to curb "extortionate" interest rates and prevent firms deliberately targeting poor and vulnerable families. In its Counting on Credit report, it cites Provident Financial, the UK's biggest doorstep lender, claiming it charges interest of up to 545% APR. A Provident Financia...Mortgage arrears fees criticised
The Financial Services Authority (FSA) should fine lenders that are treating mortgage customers in arrears unfairly, according to Which?. Jon Pain, FSA managing director of retail markets, told a parliamentary committee last week that the regulator was investigating lenders who have mishandled arrears, but would not name them. "Our enforcement action is very decisive and we will take that action through to its conc...Alert on misleading debt adverts
Borrowers have been warned to ignore misleading adverts which suggest people can get rid of their debts or loans simply by selling them. The Office of Fair Trading (OFT) says there has been a surge in these adverts from debt and claims management companies. But it says debts cannot legally be sold without a lender's permission. Some companies offering this "service" are now going to be prosecuted or closed down. "...'Steady rise' in mortgage lending
Mortgage lending by the UK's major banks has returned to levels seen early last year, figures show. The number of approvals for house purchases rose to 31,162 in May, up 15.8% compared with the same month a year ago. But the British Bankers' Association (BBA) data also shows that borrowing on credit cards has dropped owing to householders' economic uncertainty. Various lenders have raised the cost of fixed-rate mor...Home ownership 'aspirations hit'
Young people's aspirations of home ownership have shrunk as a result of the recession, according to a survey. The proportion of UK youngsters who believed owning their own home was "the ideal living situation" dropped in the last year, the poll found. The not-for-profit Chartered Institute of Housing (CIH) surveyed 2,028 people ahead of its annual conference. It is calling for renting and ownership to be considered...Building society rules to tighten
The Financial Services Authority (FSA) has told building societies it may stop some of them expanding into risky types of lending and borrowing. The plan follows in the wake of the collapse of the Dunfermline building society and the forced rescue of several other societies last year. The FSA wants societies to have senior managers who are sufficiently skilled to oversee any riskier lending. The Building Societies ...UK house prices 'up 2.6% in May'
UK house prices rose by 2.6% in May compared with April but activity remains low in the market, according to the latest survey from the Halifax. The lender, now part of the Lloyds Banking Group, warned against placing too much weight on one month's figures. The rise came after three successive months of property price falls, it said. The annual rate of decline has now eased to 16.3% from 17.7% in April. The average...UK debt figures updated
Credit card borrowing has helped fuel a general rise in the nation's personal debt burden, new figures indicate. According to Credit Action, the average amount owed by each UK adult to creditors by the end of April came to £30,500, with the national personal debt burden rising to £1.459 trillion. Total lending in April 2009 hit £1.3bn - around £300m of this total consisted of unsecured debt, s...Six debt management firms warned about illegal cold-calling
The Office of Fair Trading (OFT) has told six debt management companies and four cold-calling companies to stop using “unsolicited and misleading” calls to advertise their services. The unnamed businesses have been threatened with formal enforcement action. The warning comes after the OFT and the Information Commissioner's Office received a flood of complaints from consumers that had been cold-called, despite many o...Loan sharks set to profit from recession misery
Financial difficulties caused by the recession will drive up the number of consumers borrowing money from illegal lenders and loan sharks, the Money Advice Trust (MAT) warned this week. Brits seeking a quick cash injection will be tempted by the lure of easy money that loan sharks appear to offer. “It could be that someone is worried about not being able to pay a utility bill so may consider borrowing money to pay of...Credit crunch fails to dampen 0% credit
Good deals on personal credit continue despite the credit crunch, research by Defaqto has discovered. Although personal loan rates remain high, with the best interest rates available at around 8%, credit with 0% interest is available on overdrafts and credit cards. Seven in ten (69%) credit cards offer a 0% introductory interest rate on balance transfers for an average of 9.7 months. Virgin’s credit card offers one o...Nationwide axes mortgage promise
The UK's biggest building society, the Nationwide, will no longer promise new borrowers that it will peg its variable rate mortgages to the Bank rate. Existing customers on the Nationwide's variable rate home loan, called BMR, are guaranteed to pay no more than 2% above the Bank rate, currently at 0.5%. But new customers will have no such guarantee when their fixed-rate deal ends and they shift to a variable rate. ...Shocking debt recovery tactics uncovered by investigation
An investigation by The Sunday Times newspaper has discovered that staff in the debt recovery department of Lloyds Banking Group regularly intimidated customers who had missed loan payments. Some staff even referred to the practice as "putting the frighteners" on people. A reporter worked undercover at a Lloyds debt recovery office in Hove, East Sussex and found that workers would threaten customers over the phone, ...Banks face fines for poor service
Banks will face fines for poor treatment of their customers when the City watchdog takes over regulation of retail banking conduct in November. The Financial Services Authority (FSA) will replace a voluntary banking code with its own rules for banks, building societies and credit unions. It said this would ensure customers were treated fairly, be kept informed and make it easier to switch accounts. The body which ...Pensioners' mortgage debt grows
MORE than a third of pensioners are still paying off their mortgage, an equity release specialist yesterday claimed. It was said just over 33 per cent of people aged 65 or over had outstanding mortgage debt. The number of pensioners using equity release plans to pay off their mortgage debt soared by 38 per cent in 2008, with an average burden of £43,069. Those over 70 face the biggest repayments, owing an aver...Mortgage support scheme launched
A long-awaited scheme to help struggling borrowers avoid repossession by reducing their mortgage payments will be launched today. The homeowners mortgage support scheme (HMS), which was announced by the government in December, is aimed at households who do not qualify for income support but suddenly find their income reduced, perhaps because one partner has lost his or her job or taken a pay cut. The scheme will allo...Borrowers in debt given breathing space
Consumers given 30-day reprieve by debt collectors, and an alternative to bankruptcy is introduced for low-income debtors Consumers who are struggling with debts will be given more breathing space under new rules announced oon the 6th April 2009. Debt collectors have agreed to give individuals 30 days to seek the help of a debt adviser before action is taken to try to collect money owed. The month-long reprieve beg...1st Credit Gets Warning From The OFT
Debt buyer and collections agency 1St Credit has appointed Rothschild to renew and increase its funding lines. The company`s funding runs until 2010 but it is seeking additional facilities to buy portfolios of debt. Its current funders are Barclays, Citibank and Europe Arab Bank. The move follows a difficult month for 1st Credit after the Office of Fair Trading (OFT) imposed requirements on the company for failing to...Families pay off credit card debt for first time in 16 years
Figures from the Bank of England showed the level of unsecured debt – personal loans and credit cards – fell for the first time since April 1993. A total of £245 million was paid off during February, far more than economists were expecting. The statistics are the latest to show that worried families are tightening their belts like never before in an attempt to cope with the recession. Last week figures officia...Credit cards to face restrictions
The government is planning a crackdown on the credit card industry to curb the temptation to get into debt. Legislation will be introduced to stop card firms from raising the credit limit of a customer when this has not been requested. Ministers also want to ban firms from sending out unsolicited credit card cheques to consumers. UK payments association Apacs said its members did not raise the credit limits of bor...Mortgage approvals signal change
A rise in mortgage approvals by the major banks for the third month in a row has brought some cheer to the housing market. The British Bankers' Association (BBA) said that there were 28,179 mortgages approved for house purchases in February, up from 24,278 in January. But the figure was still 31% lower than a year earlier. The figures come as cheaper mortgage repayments have pushed down one measure of UK inflation...Watchdog shuts down debt websites
The Office of Fair Trading (OFT) is taking action against more than a dozen businesses which set up repayment plans for people struggling with debt. The watchdog says these debt management companies are deliberately misleading consumers by using website addresses similar to non-profit organisations. In actual fact, they are commercial enterprises, the OFT says. The regulator says it believes a substantial number o...Relief for borrowers as mortgage lenders toe line
Prime Minister Gordon Brown last month pledged that homeowners suffering a loss of earnings could defer mortgage interest payments for up to two years. The government has agreed to guarantee interest payments on mortgages worth up to £400,00 for those mode redundant or suffering a loss of income because of the economic downturn. Banks are also barred from repossessing homes where borrowers are less than six mon...Repossessions rise 92 per cent
The number of repossessions soared by 92 per cent in the third quarter of last year compared with the same period in 2007. The Financial Services Authority`s latest mortgage lending report, covering the period from the first quarter of 2007 to the third quarter of 2008, shows there were 13,161 new repossession cases in the third quarter of last year. This was 92 per cent more than the same period in 2007. The figures...Bank charges appeal is thrown out
An appeal by eight banks, against a High Court ruling that a regulator can investigate the fairness of overdraft charges, has been thrown out. The Appeal Court ruled that the Office of Fair Trading (OFT) has the power to investigate the issue of bank charges. The banks will ask the House of Lords for permission to appeal further, against the appeal judges' advice. Tens of thousands of claims currently on hold in t...Home repossessions rise to 40,000
The number of homes in the UK repossessed by lenders rose last year by 54% to 40,000, according to the Council of Mortgage Lenders (CML). Despite the recession, the CML said this was fewer than it had originally predicted, but it expects repossessions this year will reach about 75,000. It said lenders were making "strenuous efforts" to ensure repossessions were a last resort. But it also reported a sharp rise in h...OFT to close down firms behind bogus debt adverts
The Office of Fair Trading and the Ministry of Justice have launched an official crackdown on the recent "rash" of bogus television adverts from claims management firms featuring misleading statements. Companies that have made questionable claims about consumers being able to write off their credit card debts could face closure, the Ministry of Justice has stated. Debt charity, Citizens Advice, has supported the de...One third of consumers pay everyday expenses on credit
Almost one third of UK consumers use a credit card to pay for everyday items such as groceries, a Post Office survey has revealed. The poll showed that 10 million British adults intend to use their credit cards to cover day-to-day living expenses during the first part of this year. Meanwhile, 2.6 million people intend to spend more on their credit card this year than last year, despite economic recession and increase...Bankruptcy still seen as ‘quick fix’ warns FH Debt Solutions
Figures published today by the Insolvency Service show the number of personal insolvencies reached 29,444 in the fourth quarter of 2008 - an increase of 8.2% on the previous quarter and 18.5% on the same period a year ago. The figures consisted of 10,344 Individual Voluntary Arrangements (IVAs), an increase of 5.9% on the previous quarter and 19,100 bankruptcies, representing a significant increase of 9.4%. Bev Buds...Rise in debt collector 'mistakes'
The government is to hold talks after it emerged a growing number of people are being wrongly pursued by debt collectors. Consumer Minister Gareth Thomas is to meet representatives of the debt collection industry. It is feared the numbers targeted will rise as the recession deepens. The Credit Services Association says cases of mistaken identity will continue while it does not have access to the full electoral reg...Restraint urged over tax arrears
Councils in England and Wales are taking people to court too quickly if they fall behind with their council tax payments, the Liberal Democrats claim. An answer to a Freedom of Information request showed that one million people received court summons and that bailiffs called on 600,000 defaulters. Councils filed for bankruptcy against non-payers in 1,700 cases. The Local Government Association said just 1% of case...Debt worries plague the nation
Nearly one in three people in the UK are struggling with debt, new research has discovered. A recent poll found that 30% of people are worried about their ability to stay on top of loan, credit card, and mortgage repayments. The study also found that more than one in eight people have asked for advice on managing debt because they are struggling to make repayments. However, many people - even those worst affected by ...House sales 'continuing to fall'
Property sales fell even further in December, according to the latest survey from the Royal Institution of Chartered Surveyors (Rics). The average number of sales per estate agency fell during the three months to December to 10.1, down from the 10.6 sales level reported a month ago. Rics said this was the lowest level since its survey started in 1978. Separately, the government's own house price survey said prices...“Abusive” bailiff to be investigated
A Henley businessman has alleged that an overly aggressive bailiff threatened and intimidated one of his staff over a £1,261 debt, branding him “shouting, abusive and very argumentative.” William Smith has made a complaint to debt collection firm Equita, the employers of the bailiff in question, over the incident. They have stated that they “have launched an investigation.” The bailiff visited Mr Smith’s internet ca...1 in 10 still carrying last year’s debts
It is doubtful that many people even remember what they bought for Christmas last year, however latest figures from personal finance website MoneyExpert state that 4.5 million Britons have still not paid off their credit card debts from a year ago. 1.3 million, or 15% of people aged 25 to 34 are still in debt from last Christmas, this is a 3% rise – or an additional 250,000 people – from those listed in 2007. This C...Credit card companies agree to “new fair principles”
After the Office of Fair Trading warned credit card companies about treating customers fairly or facing regulation, the businesses have responded by agreeing to a list of new fair principles with the Government. From the 1st of January 2009, lenders have committed to not raising interest rates less than 12 months after a credit card has been taken out. Even after those 12 months are up, rates can only be raised ever...Consumers struggling to repay debts as credit dries up
Since the tightening of lending criteria has been adopted by banks, mortgages and credit have been hard to come by and a recent survey conducted by PricewaterhouseCoopers (PwC) revealed that 20% of UK credit customers are worried about the future availability of credit. The survey was carried out by PwC as part of 'Precious Plastic', its annual commentary on the consumer credit market, and also discovered that while ...Warning on payday loans with 10,000% APR
The payday loan is marketed as a short-term solution to financial emergencies. Aimed at those with poor credit ratings on low incomes who are unable to take out a personal loan, lenders can offer up to £1,000 to tide cash-strapped consumers over until their next pay cheque. Figures from this summer show that between August 2007 and July 2008, the number of payday loans made in the UK increased by over 130%. ...Trustees 'can sell interest in home'
Trustees have secured flexibility in dealing with interests in a bankrupt's home after a ruling in the High Court. The court confirmed that a trustee could sell his interest in a residential property for a right to share in the proceeds of a future sale. Law firm Mischon de Reya acted for commercial landlord Metropolitan Property Realisations in the case. The landlord was owed around £100,000 and obtained a jud...Gordon Brown unveils mortgage help plan
People facing repossession will be able to defer part of their mortgage interest payments for up to two years under plans unveiled by Gordon Brown. The plan is designed to give those who lose their jobs or take a big cut in their income an extended breathing space before their home is at risk. The scheme will cover mortgages worth up to £400,000, the Financial Helpline understands. Mr Brown made the announcement d...Northern Rock gives breather to borrowers
Nationalised bank Northern Rock pledged to wait at least six months before repossessing the homes of borrowers who had fallen behind with their mortgage. The group said as part of its ongoing commitment to work with customers who were facing repayment problems, it would formalise its policy of not taking repossession action for at least six months. The move follows a similar pledge by Royal Bank of Scotland, which al...Dismay over law changes
Midland creditors chasing cash from debtors have been warned they will find their money due to new laws relating to personal insolvency. Commercial lawyers and other professionals in the credit industry today reacted with dismay to a series of briefings revealing how new legislation would hit creditors further. The warning was issued by Neil Jinks, client services manager for the Debt Recovery Division of Burton and ...Banks win round in OFT overdraft battle
The High Court has ruled in favour of the banks in the latest round of legal battle with the Office of Fair Trading (OFT) over overdraft charges. The judge last month said fees imposed over the past several years when customers went into the red or had a cheque bounce could not be unlawful penalty charges. This follows a decision in July that current terms and conditions are not penalties but could be assessed for fa...Which? urges consumers to check credit files
Consumers have been advised to check their credit files by Which? after a significant proportion were found to be erroneous. A survey by the consumer watchdog found that 16 per cent of its members who had checked their credit files found errors on them. These mistakes included inaccuracies in their personal information and evidence that they were victims of identity fraud. In addition, two-thirds of respondents had n...Reposession orders soar says govenment
The number of claims and orders for repossession going through the courts has shot up since last year, the Ministry of Justice has revealed. Across England and Wales, 28,658 mortgage possession orders were made in the first quarter of 2008. The number of mortgage possession claims issues also rose, climbing to 39,078 which is 17 per cent higher than in the second quarter of 2007 and no change from the first three mon...Legal help on hand as repossessions rise
Emergency legal aid schemes for people facing repossession are to be set up in a further 20 county courts, the Legal Services Commission (LSC) has said. Currently LSC funds emergency schemes in 94 county courts with an additional 60 courts having schemes funded by other local funding. The latest expansion will take the total of Housing Possession Court Duty Schemes to 174 and means even more people will have access t...Council takes kickback from bailiff company
Scrutiny report shows policy of recouping costs from external firm A bailiff company working for Ealing Council is paying back 20 per cent of the fees it collects a scrutiny report has revealed. The scrutiny panel report published online by the council shows that external bailiff company (knows only as 'company C') is collecting over £3.5 in business rates on behalf of Ealing Council. The council also operates ...Barclaycard 'will not ditch risky cardholders'
Barclaycard will not "do an Egg" and dispose of any nonperforming accounts when it switches its recently acquired Goldfish and Morgan Stanley customers over to Barclaycards, it has said. In one of the largest credit card transfers in the UK, a range of new Barclaycards are currently being sent out to 1.7m customers the card issuer attained through the purchase of Discover Financial Services six months ago. Announcing...Businesses turning to bankruptcy advice line
The number of businesses enquiring about bankruptcy has more than doubled over the past 12 months, debt advisory line The Financial Helpline has said. The organisation said the number of clients it helped between January and June is up 63 per cent compared to the same period in 2007. According to the helpline, there has also been a growth in the incidence of clients seeking advice on bad debts and late payers. "The d...Orders for repossession rise
The number of claims and orders for repossession going through the courts has shot up since last year, the Ministry of Justice has revealed. Across England and Wales, 28,658 mortgage possession orders were made in the second quarter of 2008, 24 per cent higher than the same period last year and 4 per cent higher than in the first quarter of 2008. The number of mortgage possession claims issued rose to 39,078, which ...Lenders pushing loan rates up
Loan prices have hit a seven year high after a rush of lenders increased rates on personal loans in the last month, Moneyfacts.co.uk has said. As a result borrowers are facing the highest levels of repayments seen in the past six years, according to the price comparison website. "In the last few years the market for personal loans has been extremely competitive as lenders and borrowers alike cashed in on the availab...Unsecured debt payments swallowing income
The number of people spending more than 50 per cent of their income on unsecured debt payments has tripled in the past year according to credit reference agency Callcredit. It says six per cent of the population now spend more than half their income on repayments, while the proportion of people spending over 30 per cent has doubled over the past year to 14 per cent. Guidelines from the former DTI (now the Department...Motor dealers fined for PPI failings
Five motor dealers have been issued fines totalling more than £175,000 by the Financial Services Authority (FSA) for breaches relating to the sale of Payment Protection Insurance (PPI). In all 2,175 customers were exposed to the risk of being sold unsuitable PPI policies by GK Group, George White Motors, Ringways Garages in Leeds, Ringways Garages in Doncaster and Park’s of Hamilton, which sell PPI alongside c...Bank crisis could break up families
MILLIONS of families will be put under severe strain by the worst economic crisis since the 1970s, one of Britain`s most powerful bankers warned yesterday. Charles Bean, deputy governor of the Bank of England, said families are facing 'difficult social issues'. Hi didn't spell out what these will be but they are likely to include bankruptcies, home repossessions and a widespread struggle to pay rising household bills...Spending power falls by £2,500
THE average family's disposable income has plunged by £2,500 over 12 months in the first drop since 1997, a report warns today. It says the pressure on family finances can be blamed on soaring bills, particularly food and fuel, and poor pay rises. A typical family has a disposable income of just £14,520, which is 15 per cent less than they had to spend last year. Disposable income is the money left after ...OFT cracks whip over bank profits from account charges
Regulators set to take action is banks fail to make changes soon The Office of Fair Trading (OFT) last month accused banks of operating personal current accounts 'opaquely' - costing consumers billions of pounds. The OFT's report: 'Personal current accounts in the UK' found that 81 per cent of banks' revenue from current accounts comes from two sources: insufficient funds charges (£2.6bn) and net credit interes...Threat to end free banking if £8bn charges are curbed
BANKS yesterday threatened an end to free current accounts after they were accused of dirty tricks ripping off customers and imposing stealth charges. The warning of the death of free banking came after the Office of Fair Trading criticised practices that earn them £8.3billion a year from the accounts. The Government watchdog says customer were actually paying an average of £152 a year for banking service...Claims firms slap on 'bank' charges
'No-win, No fee' claims handling firms are billing customers whose disputes over bank overdraft charges have been put on hold because of the ongoing High Court case. These so-called 'ambulance-chasing' firms promised to win back thousands of pounds of charges incurred when customers accidentally went into the red. Their price was a cut of any money reclaimed. However, all bank charge complaints have been on hold sinc...4m Pay Mortgages With Plastic
More than four million families have used a credit card for that the mortgage or rent in the last year. The figure exposes the dramatic impact of the economic squeeze on ordinary families. Settling debts by withdrawing cash on a credit card is probably the most expensive way possible with interest rates as high as 28 per cent, and indicates a disturbing level of desperation on the part of homeowners. It is revealed i...House prices 'will drop for three years'
Britain's residential property market faces three years of falling house prices, according to the investment bank Goldman Sachs. The Wall Street giant warned house prices could fall 6pc this year and 8pc in 2009 on the back of plummeting sales as buyers are scared off by higher mortgage costs. It came as the Bank of England said estate agents and homebuilders are making 'sizable' layoffs after sales of houses slumped...End of an era for credit model
Bankers heads herald back to basic approach in lending arena. Lenders will have to change the way they operate as they enter a new era of back to basics business and tighter regulation, industry chiefs have warned. Speaking at the British Bankers' Association annual conference, Steven Green, group chairman of HSBC, said that banks which were previously over-reliant on securitisation and wholesale funding will have to...Firms Warned By OFT
The Office of Fair Trading [OFT] has issues warnings to 12 debt solutions companies for misleading debtors over their services. It is warning consumers to be careful before responding to unsolicited mailings which advise them to cancel existing individual voluntary arrangements [IVAs] and which suggest they opt for an alternative debt management solution such as bankruptcy. The action follows complaints by website IV...British people in denial about debt
According to new research, many Britons are in denial about the level of debt they are in, while others worry about their ability to manage their debt. The number of peoplevin the last 3 months, concerned about their debt increased from 33% to 38% , while 8% stated they are very worried about their ability to repay their debts. A lot more of the 13.1 million people with debt have had to increase the amount of money t...FSA launches money guidance website for young
According to new research, many Britons are in denial about the level of debt they are in, while others worry about their ability to manage their debt. The number of peoplevin the last 3 months, concerned about their debt increased from 33% to 38% , while 8% stated they are very worried about their ability to repay their debts. A lot more of the 13.1 million people with debt have had to increase the amount of money t...Thousands facing negative equity
More than 23,200 people who took out 100% mortgages in the year to 31 March could face negative equity, according to figures obtained by the BBC. Falling house prices mean the amount borrowed could be greater than the value of their properties. The data from the Council of Mortgage Lenders comes as figures show the housing market is slowing down further. Separate housing figures suggest the number of transactions ...House Sales at a 30 Year Low
The balance of Chartered Surveyors reporting house price falls decreased slightly in May but the average number of transactions per surveyor fell further, says RICS' UK housing market survey published today (10 June 2008). The RICS house price balance improved slightly for the first time in ten months but still remains a significantly depressed figure. 92.9 percent more Chartered Surveyors reported a fall than a rise...Birmingham Midshires - savings level increase
Research from Birmingham Midshires has revealed that savings level are increasing in spite of the credit squeeze having an impact on struggling households. The study shows that people in the UK appear to be prepared to take action to safeguard their spending. Britons are topping up their savings account and dipping less into funds. Over the last 3 months, an average of £938 has been saved per person compared wi...Northern Rock doubles debt management staff
Northern Rock plans to double the number of staff looking after its mortgage book as it gears up to deal with more customers having trouble paying off loans in the worsening economic climate. The new executive team of the nationalised Newcastle-based bank has told staff in a memo that it wants to bolster its debt-management arm from the equivalent of 176 full-time workers this April to 444 by next March. The mortgage...UK Consumer Debt Sales Market sees dramatic growth
New research from TDX Group, the leading provider of analytics-based debt management, reveals that in 2007, £7.4 billion of UK defaulted unsecured debt – around one third of the total - was sold on by banks and creditors. Over the last 3 years, the market has grown by over 270% from a base of around £2bn in 2004. In terms of 2008, the company predicts that the market for selling this type of debt will gro...Debtors to have their borrowing written off
Private debt advice companies and charities are to be given the power to write off part of an individual`s debts – whether the creditors like it or not. They will also be able to force creditors to accept a schedule of repayments for the remainder of the money owed, regardless of the lenders wishes. Creditors will not be able to petition for bankruptcy, nor will utilities be allowed to cut off gas or electricity supp...Insolvencies on the increase
Figures published by The Insolvency Service have revealed that the number of people declared insolvent has risen for the first time in over 12 months in the first 3 months of 2008. The figures show that 25,264 people have been declared insolvent, which represents a rise of 1.7% compared with the last 3 months of 2007. Furthermore, there were 9,614 Individual Voluntary Arrangements (IVAs) and 15,651 bankruptcies repo...Debt Ridden Brits Claim Bankruptcy
A new study by online credit information provider Equifax has revealed that more and more Brits are claiming bankruptcy as they struggle to cope with their debts. The study claims that 130,000 people will be declared insolvent by the end of this year, a 30 per cent rise since last year. This is a very large rise in the space of just one year and Equifax are concerned that people are not aware of the long term drawba...Banks lose overdraft charges case
The UK's biggest banks have lost a test case about overdraft charges. A judge has decided that the Office of Fair Trading (OFT) can apply consumer contract regulations to decide if bank overdraft charges are fair or not. But Mr Justice Andrew Smith said the judgement did not necessarily mean the charges are unfair. Further hearings are expected which may delay the cases of thousands of claimants trying to reclaim ...Working-class in debt by living middle-class lifestyle
A study has found that approximately 2.7 million 'social climbers' have an average personal debt of £13,000 excluding mortgages. Worryingly, many have been re-mortgaging their homes in order to fund this luxurious existence. A spokesperson said the value in house prices is falling which means equity in their homes is going down by the day. With the mortgage meltdown, many will find it more difficult to re-mor...Credit Crunch Debt Outlook
The Comsumer Credit Counselling Service (CCCS) says the credit crunch is starting to have an effect on consumer borrowing. In its annual statistical yearbook, CCCS says the increase in outstanding credit card balances in September marked the end of the steady decline seen over the past two years. It believes this may reflect an increased number of people unable to obtain secured credit and so resorting to unsecured l...Spiralling living costs cripple debtors on the poverty line
Utility bill payments taking up a higher proportion of income Rising household costs and utility bills are dragging debtors under, two debt charities said last month. In its annual statement yearbook the Consumer Credit Counselling Server said clients living below the poverty line paid 23 per cent more for utilities in 2007 than four years earlier and suggested that many may be cutting back on fuel use to meet their ...Security Industry Authority to regulate baliffs
Industry proposal for alternative body dismissed by government The government is to regulate bailiffs through the Security Industry Authority (SIA) despite opposition from the industry. In its response to the consultation on the regulation of enforcement agents published last month, the Minister of Justice said there was "overwhelming agreement that there was a need for statutory regulation." However, it rejected the...OFT warns 13 debt agencies
After receiving consumer complaints about a number of agencies the Office of Fair Trading has issued a warning to the 13 companies telling them that they have four weeks to improve the ways in which they collect their debts. The complaints range from chasing consumers for payment of debts they did not owe to failing to carry out sufficient accuracy checks on data received from creditor clients and/or credit reference...UK mortgage rescue plan could come next week
British authorities are working on a plan to break a lending squeeze gripping the home loan market and could announce details as early as next week, a source close to the situation said on Thursday. Pressure has been growing on the government and the Bank of England to do more to resolve a mortgage debt crisis that is threatening to slam the brakes on the British economy. News of possible swift action lifted sterling...Thousands to have usual credit lines cut off
Almost 600,000 people will be unable to refinance their debts this year after finding their usual lines of credit cut off, forcing them to go bust or sign expensive "bankruptcy-lite" agreements. About one million Britons are struggling with £25 billion of unsecured borrowings that they cannot repay - "problem debt" averaging £25,000 each - according to a report by TDX Group, which provides detailed debt-c...Rates rejig from mortgage lenders
Some of the UK's biggest mortgage lenders have again shuffled the cost of their deals for new customers, as the financial squeeze continues. Halifax and Abbey have increased the cost of short-term fixed-rate mortgage deals, but have passed on last week's rate-cut to existing borrowers. They blame the continued high cost of lending between banks as a result of the credit crunch. Ministers will meet lenders next wee...Housing gloom 'worst in 30 years'
Confidence in the UK housing market fell in March to its lowest point in 30 years, according to a closely watched survey of property surveyors. The Royal Institution of Chartered Surveyors' (Rics) said that 78.5% more surveyors reported a fall than a rise in house prices in March. This was the gloomiest reading since Rics began the survey in 1978. The government's own house price figures confirmed a fall in prices...Unpaid debts will result in court judgements
Accountants KPMG are predicting that a million county court judgments will be issued this year, up from almost 800,000 in 2007 and nearly double the 538,383 judgments recorded in 2004. County court judgments relate to unpaid debts including on credit cards, personal loans, car loans and store cards. They are often followed by visits from bailiffs, who can seize property in order to enforce the courts' decisions. Ove...House prices 'see sharp decline'
House prices fell by 2.5% in March, the biggest monthly decline since September 1992, the Halifax has said. The latest monthly figure from the UK's largest mortgage lender was significantly worse than many experts had expected. House prices are now just 1.1% higher than they were a year ago, the slowest annual growth rate for 12 years. The Halifax has also revised its predictions and now expects prices to fall ove...Mortgage lending hits 16-year low
The number of mortgages being lent for house purchase has slumped to its lowest level for 16 years, according to the Council of Mortgage Lenders (CML). There were just 49,000 loans made to home buyers in February, 3.5% lower than in January and 33% down on February last year. Loans for house purchase made up only 30% of all mortgage lending, the lowest proportion on record. The CML blamed the credit crunch, which ...Extra help for first-time buyers
The government is to announce new measures to encourage first-time buyers and key workers to participate in its affordable housing schemes. There will be £1,500 grants to help qualifying buyers with costs such as solicitors' charges and furniture. The government said more than £3m has been allocated for the grants - enough for 2,000 people. The grants are to run in conjunction with a part-buy scheme of...Debt warning young about too much credit
Young people are being forced into debt because of the ease with which they can get credit, research suggests. A Scottish Widows study shows that, while credit firms are tightening their criteria for lending, existing debt is already having a negative effect on young people's finances. This will impact upon their future finances, spokesperson Anne Young says. Its research shows young people are accepting financial he...Unpaid debts will result in court judgements
Accountants KPMG are predicting that a million county court judgments will be issued this year, up from almost 800,000 in 2007 and nearly double the 538,383 judgments recorded in 2004. County court judgments relate to unpaid debts including on credit cards, personal loans, car loans and store cards. They are often followed by visits from bailiffs, who can seize property in order to enforce the courts’ decisions. Ove...Borrowers race for cash, personal debt soars
Consumers are rushing to borrow what they can as the credit squeeze continues and cheap re-mortgaging deals disappear. As a result, credit card debt increased by £350 million and bank loans and overdrafts soared by £2 billion in February. According to figures from the Bank of England, this represents the highest monthly increase since records began in 1987. Tracey North of uSwitch.com said people are gra...Money worries result in millions slashing their spending
Research from comparison site MoneyExpert has revealed that households are slashing spending and dipping into their savings because money is so tight. The report shows over 26.3 million adults are planning to cut their spending this year as fears about the credit squeeze hit home. Sean Gardner of MoneyExpert said the credit squeeze is moving on from being something that just affects bankers to having real effects o...First Direct withdraws mortgages
First Direct has temporarily stopped offering any of its mortgages to people who are not already its customers. The bank, which is part of HSBC, said the withdrawal was to allow it to cope with the unprecedented demand for its range of mortgages. Many providers have withdrawn mortgages or raised interest rates this year, leaving some smaller banks and building societies unable to cope with demand. First Direct says...Mortgage approvals at 13 year low
The continuing decline in the property market has been underlined by the latest Bank of England figures. The number of new mortgages approved for house purchase fell slightly in February to just 73,000, said the Bank. That was a 39% drop on the same month a year ago, and leaves prospective mortgage lending still at its lowest level for 13 years. However there was a record rise in other loans to individuals, exclud...Fall in range of mortgage deals
The shortage of funds in the banking system has seen the number of different types of mortgage deals fall by almost two-thirds since the summer of 2007. Figures from the financial information service Moneyfacts show that since last July the number of mortgage deals on offer has fallen from 15,599 to 5,725. The biggest shrinkage has been among sub-prime and buy-to-let mortgages. The change has been accompanied by le...Mortgage criteria getting tighter
Consumers are finding it tougher to get a mortgage as cautious lenders continue to withdraw and change deals. Financial information service Moneyfacts said a string of lenders had tightened up their criteria over the last two days. With lenders' funds drying up, higher deposits are being demanded from first-time buyers. Several small building societies have been restricting or halting lending as a result of the fi...Bailiffs to get more regulation
Plans designed to protect householders from unscrupulous bailiffs have been announced by the Ministry of Justice. Bailiffs in England and Wales are to be subject to an independent regulator. "People have a right to recover their debts, but no-one should have the right to threaten, bully or intimidate," Justice Minister Maria Eagle said. She said the new rules would raise the level of bailiffs' professionalism. They ...Millions 'spend more than income'
Five million people, or one in 10 adults, spend more than they earn on a monthly basis, according to financial comparison website Uswitch. The website said a further fifth of adults have no spare money left at the end of the month. Half of those living beyond their means rely on overdrafts and credit cards to plug the gap, it said. The findings come amidst widespread concerns that higher debts may push more peopl...Rising numbers seek debt advice
Fears over mortgage arrears and household bills have led to a surge in the number of people seeking help from the Citizens Advice service. A survey of more than 300 offices, compiled for the BBC, found a 35% rise in mortgage queries in January and February compared with 12 months ago. Rising household bills also contributed to 215,000 new debt problems taken to the service in January and February. But the figures a...New protection for IVA customers
The government has set out a new code governing Individual Voluntary Arrangements (IVAs), a controversial alternative to bankruptcy. The Insolvency Service hopes the IVA protocol, which has been agreed with industry, will make the process more transparent and predictable. Some providers have been criticised for misleading consumers about the suitability of IVAs. Consumer groups have given the protocol a cautious w...Remortgage Demand Soaring
Borrower demand for remortgages has increased by 25% in four months and has exceeded that of First Time Buyers for the first time since Leadbay"s records began in January 2005. Since its launch in January 2005, Leadbay has always enabled advisers to buy the first time buyer, purchase and remortgage leads separately, so it has been clear to see how the different types of borrower have changed over time. The number o...Fears grow for over-indebted homeowners
Fears are growing that homeowners with 100 percent-plus mortgages could run into trouble after a string of lenders, including Northern Rock, scrapped deals that allow people to borrow more than the cost of their home. Hard-pressed first-time buyers with little or no deposit will also find it harder to get onto the housing ladder as banks withdraw home loans aimed at young people who lack savings. Leading indices show...Debts Concerning One in Three
A third of Brits are now concerned about their ability to manage debts, as the credit crunch and rising cost of living catch many out. Despite fears of an economic slowdown, 27 per cent of people have increased their borrowings in the last three months, according to data from MoneyExpert.com. Christmas shopping on credit cards has been blamed for the rise in debt - with 47 per cent of adults now owing cash on their...Debt: Avoiding Repossession
Practical advice is being issued to struggling mortgage-owners in a bid to stem the rising rates of repossessions. Following news from the Council for Mortgage Lenders (CML) the number of homes repossessed in 2007 had reached an eight-year high, Which? said struggling homeowners need not bury their heads in the sand. Phillip Inman, author of the consumer organisation's guide Manage Your Debt, has suggested mortgage...Bankruptcy Orders Up In 2007
Bankruptcy orders rose 2.4 per cent over 2007 - with 64,480 people going under. In total there were 106,645 insolvencies last year - new figures from the Insolvency Service (IS) reveal - with 42,165 people filing individual voluntary agreements (IVAs), a fall of 4.9 per cent. However, the fall in IVAs is not being attributed to Britons getting their finances in order, but banks being less willing to accept the agre...FSA: High debts may hit 'significant minority'
A significant number of Brits could experience financial problems because of their high levels of debts, warns the Financial Services Authority (FSA) today. The regulator's Financial Risk Outlook highlights the risks for consumers and banks in "a significantly less benign economic environment" with higher inflation, weaker outlook for the US economy and more fragile financial markets. The report finds: "A growing n...Mortgage Debt Danger
Soaring mortgage interest is crippling Brits adding greater burden to debt problems for the average household, a thinktank has warned. While families struggle to keep up with rising tax, energy and other bills, the average income is not going up at the same rate according to the Centre of Policy Studies. It said the total debt, including mortgages, per household has increased by a huge 63 per cent from £24,01...Over a million Brits have secret loans
Research from Abbey Loans reveals that as many as 1.35 million of the unsecured personal loans taken by the British public were made in secret, without family and partners knowledge. The combined value of the secret loans is estimated at £7.7bn. Over half took out their secret loan in order to pay off existing debts. However the remaining loaners used their cash injections to make purchases: 199,000 people (15%...Insolvencies Set To Soar in 2008
A bumper year for insolvencies is on the cards, with higher numbers of companies and individuals throwing in the towel, Financial Mail has learned. The credit crunch, sluggish High Street spending and a 'quickie' personal insolvency regime will produce a sharp rise in numbers seeking legal protection from their debts. Nick O'Reilly, head of business recovery at accountant Vantis, said: 'In the past two or three yea...Consumers Not Heeding Worsening Financial Reality
Alliance Trusts measure of consumer financial wellbeing shows a worrying fall in the fourth quarter of 2007 as pressure mounts from rising prices, increased debt and slowing house price growth. Consumers are facing increasingly extreme pressure on their day-to-day costs with rising food and fuel prices and a higher burden of debt. The economic research teams Financial Reality Index, which analyses a range of key fact...5 Million Brits Overspending
A new report by independent price comparison and switching service, uSwitch.com, reveals the heights that the nations passion for spending hit before the high street plummet that saw the worst December trading since 2004. Brits are working harder than ever before, yet almost one in three have nothing left in their bank account at the end of the month. Every month, 4.8 million consumers spend more than they earn, nine...Loans Costs Rising
The cost of borrowing is increasing, despite the Bank of England dropping interest rates last month. Furthermore the cost of a loan rose "dramatically" over base rate rises in 2007, according to new research by MoneyExpert.com. While the base rate is now 0.5 percentage points higher than in November 2006, the average rate on a loan under £3,000 is up from 12.35 per cent to 14.9 per cent. The rate on a loan o...Lenders Sting Customers With Higher Rates
LONDON (Reuters) - Lenders are stinging consumers with far larger increases in the cost of borrowing than hikes in the official interest rate, figures show. Average rates on personal loans have increased by more than the Bank of England base rate since November 2006, according to price comparison service MoneyExpert.com. The official rate of interest currently stands at 5.5 percent, up from 5 percent 14 months ago, b...Consumers Warned About Unauthorised Debt
Consumers have been warned to consider the cost of unauthorised borrowing by financial information provider Moneyfacts. According to the research, while the average interest rate for going into an authorized overdraft is 12.1%, the rate for (Advertisement) an unauthorised overdraft is nearly double this, at 23.3%. If you go £100 into an unauthorised overdraft, you could end up paying as much as £160 in in...Mortgage lenders cut maximum borrowing level
LONDON (Reuters) - Eleven mortgage lenders have reduced the amount of money they will lend to home-buyers, as expectations of a property price slowdown grow. The 11 have cut their maximum loan-to-value (LTV) on at least some products since the start of December, price comparison service Moneyfacts.co.uk said. Some lenders, including the Cumberland and the Yorkshire building societies, have stopped offering 100 percen...Consumers Carry Over Xmas Debt
More than 4.4 million people are still paying for last Christmas, according to research from MoneyExpert. In addition, the financial comparison site has pointed out that someone carrying a balance of £1,000 at an interest rate of 16.9% will have spent around £169 in interest over the last year. However, research into Christmas debt by MoneyExpert also found 54% of adults either didnt get into any debt las...Britain Borrows more than 11bn
UK consumers amassed over £11.7 bn in debt in the third quarter of this year, research from website Unbiased.co.uk has shown. According to Unbiased.co.uk, high interest rates combined with ongoing consumer uncertainty over the impact of the credit crunch have led to consumers using savings to pay for their expenditure. The research also revealed UK savings have dropped by over £11bn in this years third qu...FH Debt Solutions can help you get back in control of your debts. Our highly trained advisors are always happy to help. Our Debt Management Plans & IVAs have already helped thousands of people on their way to becoming debt free.
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There are a large number of companies out there offering services but charging percentage fees on a month by month basis. These fees can be 15% of you overall payment. E.G. payment is £300 their fee is £45. FH Debt Solutions believes in being realistic with charges. We have built up strong relationships with creditors over the years that have helped give our customers a quicker and more effective service. Fees are based on work load, not the amount of debt you owe.
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