Jul 08
Credit card experts have predicted that interest rates will continue to rise, with providers balancing the risks they are taking.
The Bank of England recently reported that write-off rates on credit card lending have now reached record highs, leading to spreads on unsecured lending sharply rising recently.
A spokesperson for Moneyfacts.co.uk detailed some of the changes to expect in the credit card market over the coming years and identified who would be affected.
She said: “Providers have been putting rates up and obviously there’s high unemployment and the risk of people defaulting and not repaying their debts is still quite high, so they’re very strict on who they give their cards to.
“The customers that pay off just the minimum every month are going to be the ones who are hit hardest. Read more…
Tags: Credit Card, Interest Rates, Rise
Jul 08
I wrote a couple weeks ago that I will be starting to build business credit from scratch and I will be starting today. So the first corp we will be working on is a texas corp. I will be incorporating the business entity today. This should take 24-72 hours. Once that is done I will get the tax id, duns number and phone line. We will be getting DNB credit monitoring and business credit builder since it is now $69 a month. I am incorporating in Texas because I am doing this corp for a friend of mine who lives in Houston. I personally prefer New Mexico, Florida and Delaware but he prefers not to get a virtual office and all that jazz. On my contact information, my travelling caused me to temporarily stop taking calls, but I will be back on by the end of the week. Marc
Tags: Business Credit, Credit
Jul 07
UK banks and financial institutions have increased the amount of credit card lending they are writing off. The Bank of England has released figures that show, in 2009, the amount written off by credit card lenders rose to a record GBP4.12 billion, which was about 10 per cent of all the money lent on credit cards in the UK. It also revealed that in the first three months of this year, write-offs increased to GBP1.25 billion, the second-highest quarterly amount on record.
However, with house prices finally on the rise and the number of homes being repossessed dropping, the amount of money that was written off on mortgages decreased to GBP160 million, which was the lowest quarterly figure for a year and a half. Read more…
Tags: Card, Credit Card