You are here: Home - Credit Cards & Loans -

Personal loans gap ‘must be bridged’

Written by:
The Government needs to do more work to make sure that qualifying people who need them are not denied access to personal loans, it has been suggested.
Personal loans gap ‘must be bridged’

The Government needs to do more work to make sure that qualifying people who need them are not denied access to personal loans, it has been suggested.

Mark Huggins, director of AA Financial Services, said that lenders must take a more “responsible approach” to choosing customers in the current economic climate.

However, he also expressed concern that there is an increasing division between consumers who can secure credit and those who are refused products by companies.

“The credit market trend is increasingly disenfranchising large numbers of the population who now either can’t obtain credit at all, or can only do so if they are prepared to pay very high interest rates,” Huggins said at the Institute of Economic Affairs conference in late March.

Huggins suggested that the market should work together to “offer affordable lending solutions” and protect consumers from resorting to doorstep deals with sky-high interest rates.

Chris Tapp, director of debt charity Credit Action, also claimed recently that Britons are increasingly turning to companies offering expensive payday loans as they cannot secure credit through mainstream lenders.  

Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co... Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
Rise in personal loans