Rising loan prices could make debt management a necessity
Rising loan prices could make debt management a necessity
Wednesday 16th December 2009
According to new figures from the British Bankers Association, customers trying to find loans at the minute are "stuck between a rock and a hard place".
Beyond the fact that the majority of the largest high street lenders are currently restricting deals to existing customers, average loan rates have also risen gradually and are expected to continue doing so over the coming year.
That is the conclusion of moneysupermarket.com, which indicated that the current average rate on the top ten loans of £5,000 currently stands at 10.78 per cent, an increase of 1.54 per cent since January.
Commenting on the rise, Tim Moss, head of loans and debt at the price comparison site, explained that the easing of the financial crisis has not yet "filtered through" to consumers, as banks continue to act cautiously in their lending.
"We have seen the average rates for personal loans increase across the board so consumers who are lucky enough to be accepted for a loan have to pay more too," he said.
Those who require personal loans may find that debt help solutions become more pressing as interest rates attached to these products rise.
Earlier this month, it was warned by Consumer Focus that energy companies are raising their prices this winter, something that could leave more people requiring personal loans and subsequent debt management.
News article brought to you by Debt1 – UK debt management specialists
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