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Moore and Blatch says lenders face challenge in debt recovery

Debt recovery specialists Moore and Blatch has warned that changes in personal attitude to debt could present lenders with new challenges in debt recoveries.

Recently published statistics from the government’s Insolvency Service, show
that more than 23,000 people became insolvent in England and Wales during
the first three months of 2006.

That represented a 73% rise on the same period last year and gave further
credence to the view that 2006 could see record levels of personal

Paul Walshe, head of lender services at Moore and Blatch, says: For several
years now lending has boomed to fuel the growing buy now, pay later

“This has been supported by rising property prices, coupled with
low interest rates and stable unemployment to create high consumer

But these figures from the Insolvency Service show that debt has spiralled
out of control for thousands of individuals.

More than 100,000 people are likely to enter IVAs this year. In recent months, more stable house prices, the potential for interest rate rises and rising unemployment are starting to bring a dose of reality to the consumer.

The Council of Mortgage Lenders has already reported rises in arrears and repossessions over the past year and these statistics give a strong indication that tougher times may be around the corner for lenders.

Now would be a good time to review and tighten procedures for arrears management and shortfall recovery.


Advantage picks cancer charity

Advantage Home Loans, the packager bought by Morgan Stanley in December 2005, has chosen Teenage Cancer Trust as its charity of the year. Staff from Advantage will be committed to organising activities to raise funds for the London-based charity which supports teenagers and young adults with cancer.

Win tickets to World Cup final

Mortgage Strategy has teamed up with Rooftop Mortgages to bring you the ultimate in competition prizes – two tickets to the World Cup final on July 9. Full details on how to win this fantastic prize will be unveiled in next week’s issue of your number one mortgage magazine, bringing you the best stories, the […]

Caffrey appointed group MD of c2-Financial

c2-financial has appointed Justin Caffrey as group managing director, replacing David Wylie who takes up the position of group chairman. Caffrey, previously sales and operations director, starts his new job on June10. Wylie says: “Caffrey has been instrumental in the growth of the business and the integration of a corporate structure in the group. He […]

Older people forced to sell homes because of care home fees

Older people are failing to seek advice on paying their care home fees and are selling their homes as a result, research suggests. NHFA, the specialists in long-term care advice and part of the HSBC Group, says 70,000 homes are sold each year to pay for care yet only 3,162 2 applications were made for […]


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