Daily mirror report

Squirrel29

There is a report in the financial column of the Daily Mirror today that the credit companies are really getting tough on dishing out credit. It says that even the slightest blip on your credit record can mean you miss you on loans, mortgages etc.

I know it is documented on this board that certain providers such as Northern Rock have really clamped down on lending.

Perhaps, thankfully the tide is turning and the next generation find it harder to get credit. I certainly hope so, as we all know it is hard to resist the constant bombardment of credit offers but the misery it brings when you get out of your depth is awful.

Gemmzie

I can see the positives and negatives of that really. I think total clamp down is ridiculous, for the economy, the credit companies and the individuals. But more sensible dishing out would be a good idea.

Squirrel29

Me too Gemmzie, my worry is that those already with debts are going to get absolutely driven into the ground with high interest rate increases (as I have recently with Cahoot (hate them, hate them, hate them!). Luckily I was able to extract myself from their flexiloan but I have some other credit card debts.

It makes me even more determined to pay everything off as soon as possible and never sign a credit agreement as long as I live!

fletch3163

Hi all

In America lenders were giving people loans they were never going to be able to pay. In fact, they defaulted on the very first payment. Nobody knows the extent of this but financial institutions around the world are responding to try and protect their companies and their customers.

I have watched with despair over the past couple of years as Carol Vorderman et al parade themselves in front of us all (day time telly mostly) tell us "need a loan but can't afford the repayments"..... "120 easy payments"...... Now it's coming home to roost.

The poor people who can afford the it the least get charged the most. The same institutions actually pay to fund the debt counselling agencies. My God!

I read somewhere on her that someone was paid 125% loan to value. What is THAT all about. There's no such thing as a free lunch. These parasites wait until your back is against the wall, put out a "hand of friendship" but it's like making a deal with the devil.

My debt is indulgent, it's not necessity and for that I'm ashamed. I might have a few (:o ) quid on a couple of credit cards but I'm blessed not to be in bed with the devil.

Sorry for the rant :silenced:

ManAtHome

fletch3163 wrote: »

I read somewhere on her that someone was paid 125% loan to value.

Still being offered - several adverts for 100-125% LTV in my local paper this week. Chances of going anywhere else after the year or 2 intro rate likely to be slim.

Gemmzie

Interestingly I've just been reading over at DT that some big banks believe the interest rates are going to come back down.

I think the ideal is to hold steady and clamp down on credit for a while and see what happens.

FelOn_2

Squirrel29 wrote: »

There is a report in the financial column of the Daily Mirror today that the credit companies are really getting tough on dishing out credit

Here's the link http://www.mirror.co.uk/news/money/city/2007/09/08/credit-crunch-89520-19753209/

Gemmzie

Thanks FelOn - love your sig by the way