Secured Loans decline in the UK
17/07/08
Secured loan lending side of Barclays and Bank has been recently affected by the changes in the financial climate in the UK. Latest news suggests that as of August 9th 2008 the bank will no longer be taking on new business.
It seems the trend could well be followed by others offering secured loans or even tightening on their product portfolio. With the squeeze on the number of lenders now offering secured loan and the selection criteria employed by lenders, the net result is going to impact the end user.
Predications suggest consumers are likely to pay more borrowing even though they may not have a tarnished credit status.
Loan application figures suggest that there has not been a decline; in fact it has remained strong. Factors such as the credit crunch, downturn in the housing market has forced many to revaluate their financial position and look to debt consolidation to better manage their overall debts.
The future for the secured loans market looks shaky and really posses’ questions for the loan lenders to either manage through the bad times or even shut the door.
