Tag: Debt News

Government to outsource tax credit debt collection

Government to outsource tax credit debt collection

Government plans to outsource the collection of tax credit overpayments has raised alarm among campaigners. A pilot scheme will be launched, with private companies appointed to collect overpayments. These can often occur when a claimanta��s income increases – when they move to a better paid job, for example. Claimants should report a change in their […]

December 6, 2012 More
Government to legislate on uncollected debt

Government to legislate on uncollected debt

The Government is planning to introduce new laws allowing its departments to share information on individuals and companies that owe them money. The proposal follows a review by the Cabinet Office’s Fraud, Error and Debt taskforce. Around A?20 billion is owed to the Government and more than A?7 billion is lost each year through unpaid […]

October 17, 2012 More
Fewer first-time homeowners seeking debt advice

Fewer first-time homeowners seeking debt advice

The number of first-time homeowners in their twenties seeking help from the Credit Counselling Service (CCCS) fell to 3,008 in 2011, from 4,489 in 2009. The charity, which assists people in financial difficulty by providing free debt advice, suggests this is due to low interest rates. The Bank of Englanda��s base rate has been at […]

June 6, 2012 More
MP criticises new payday loan regulations

MP criticises new payday loan regulations

The government has gone some way to stop payday loan customers racking up unmanageable levels of debt, but MP Stella Creasy said the new rules are of a�?limited valuea��. Trade associations representing around 90 per cent of payday lenders have agreed to introduce new codes of practice by 25 July. Under the new regulations, payday […]

May 28, 2012 More
OFT warns Wonga over debt collection methods

OFT warns Wonga over debt collection methods

Payday loan company Wonga used aggressive and misleading methods to collect debts from customers, the Office of Fair Trading (OFT) has found. Wonga sent letter and emails to certain customers suggesting they had committed fraud and threatening to report them to the police if they did not act in the way Wonga suggested. The company […]

May 22, 2012 More
Payday loans trapping people in debt

Payday loans trapping people in debt

Payday loans have soared in popularity over the past few years, but consumer group Which? warns they are trapping people in a a�?downward spiral of debta��. Problems start to escalate if people are unable to pay back their loan on time, with some companies charging excessively high penalties for late repayments. Which? discovered that Quid24.com […]

May 18, 2012 More
Fall in bankruptcies hides rise in personal debt

Fall in bankruptcies hides rise in personal debt

There was a fall in the number of people going bankrupt in the first quarter of 2012 but more people are experiencing debt problems and many are simply unable to afford the A?700 bankruptcy fee. According to the latest figures from the Insolvency Service, 28,723 individuals in England and Wales became insolvent in the first […]

May 4, 2012 More
Mothers accumulate debt on maternity leave

Mothers accumulate debt on maternity leave

Three quarters of mums are unprepared for a fall in income while they are on maternity leave and nearly a third go into debt. A study by price comparison site uSwitch.com suggests that the average debt accumulated by mothers while they are on maternity leave is nearly A?2,500. As well as facing a 50 per […]

April 20, 2012 More
Debt not serious until it hits A?14,000

Debt not serious until it hits A?14,000

Brits dona��t consider themselves in serious debt until they owe more than A?14,416 according to insurance company Bright Grey. Although this may sound excessive, it reflect a significant improvement from a year ago when A?15,837 was the point at which people started to consider them themselves in serious financial difficulty. Bright Greya��s a�?financial safety neta�� […]

April 17, 2012 More
OFT updates guidelines for debt management firms

OFT updates guidelines for debt management firms

The Office of Fair Trading (OFT) has today published new guidelines for firms offering debt management advice or credit repair services to consumers. Complaints about debt management firms have increased significantly in recent years; 546 complaints were made to the Financial Ombudsman Service last year compared with 463 in 2010. The complaints included concern over […]

March 22, 2012 More
70% of UK adults in debt

70% of UK adults in debt

Seven in ten UK adults are in debt but many are choosing to ignore the problem instead of seeking help before it gets out of hand. Research by The Co-operative Bank found that 29 per cent of people refuse to confront their debt problems. Many do not admit that they are in debt until borrowing […]

March 1, 2012 More
Monthly pay lasting just 17 days

Monthly pay lasting just 17 days

Workers are running out of money just 17 days after receiving their monthly pay, according to new research by the Halifax bank. This means that the average UK worker spends half the month worrying about money. The study, based on the responses of more than 2,000 adults, found that 10 per cent of workers start […]

February 9, 2012 More
Debt soars for UK families

Debt soars for UK families

The rising cost of essentials such as fuel and food has contributed to a 48 per cent increase in the level of personal debt, according to the latest Aviva Family Finances Report. The average British family now owes around A?7,944 in unsecured borrowing, compared with A?5,360 a year ago, despite a 7 per cent increase […]

January 26, 2012 More
Shoppers risk financial security for Christmas

Shoppers risk financial security for Christmas

Although stores have been forced to start their sales early this year to persuade shoppers to part with their money, nearly a third of people in the UK will go into debt over Christmas. Fifty-eight percent of this group will put more spending than usual on credit cards and thirty-nine per cent will go overdrawn […]

December 12, 2011 More
UK carers struggling to make ends meet

UK carers struggling to make ends meet

Around half of the 6.4 million unpaid carers in the UK are suffering ill-health because of money worries according to Carers UK. A survey of 4250 unpaid carers found that 40 per cent of respondents had fallen into debt because of their caring responsibilities, and 86 per cent of carers in debt suffered mental health […]

December 2, 2011 More
Debt Project wins A?250,000 grant

Debt Project wins A?250,000 grant

Shelter Cymru has won a A?250,000 lottery grant to fund a three-year project to offer debt advice to people in Wales. The Wrexham-based service is expected to help around 200 households a year, in an area where there are high levels of personal debt. The project is expected to open in autumn, providing a range […]

November 9, 2011 More
Japanese economy continues to struggle

Japanese economy continues to struggle

The Cabinet Office has today revealed the worlda��s third largest economy performed worse than originally thought in the April to June period. Gross Domestic Product (GDP) contracted by 2.1% on an annual basis in the three-month period, compared with an initial estimate of 1.3%. The fall was attributed to a cut back on spending by […]

September 9, 2011 More
Finances worsen for 40% of UK households

Finances worsen for 40% of UK households

Almost 40% of UK households saw their finances deteriorate in August, according to the latest Markit Household Finance Index, with the rate of deterioration faster than at the height of the recession. Worsening finances were evident across all income groups, age ranges and regions, as the survey registered the fastest fall in cash available to […]

August 22, 2011 More
US reach agreement on raising US debt ceiling

US reach agreement on raising US debt ceiling

US President Barack Obama has announced Republican and Democratic leaders have come to an agreement on raising the Government debt ceiling to avoid defaulting on its debt. “I want to announce that the leaders of both parties in both chambers have reached an agreement that will reduce the deficit and avoid default, a default that […]

August 1, 2011 More
US economic growth slower in Q2

US economic growth slower in Q2

The Commerce Department has today revealed the worlda��s largest economy grew by 1.3% on an annual basis in the April to June period. The figure was far short of expectations of a reading of 1.8%. However, todaya��s reading is the first estimate and could be revised up or down in the coming months. Meanwhile, first […]

July 29, 2011 More