Second charge market grew 6% in year to August, says FLA

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The second charge mortgage market grew by 6 per cent in the year to August, according to figures released by the Finance and Leasing Association.

The value of second charge mortgage borrowing completed in August stood at £73m, according to the report, up 6 per cent on August. However, for the quarter to August there was a 1 per cent drop in second charges completed, dropping to a total of £216m in the three months.

FLA head of research and chief economist at the FLA says: “Second charge mortgage new business volumes grew for the first time since February, following the market’s transfer to the FCA’s mortgage regime in March.”

The study also found that credit card and personal loan new business grew, up 17 per cent compared to August 2015, while retail store and online credit new business increased by 6 per cent over the same period.