Banks 'should help consumers' during downturn - Loans - News - Moneyfacts


Banks 'should help consumers' during downturn

Banks 'should help consumers' during downturn

Category: Loans

Updated: 11/03/2009
First Published: 11/03/2009

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Financial institutions have been urged to provide some relief to those with secured loans during the economic downturn.

Consumer campaign group Which? called for a "responsible approach" to be taken to repossessions, following findings that Britons expect the economy to take time to improve.

According to the body, 80 per cent of people think it will be at least a year before a recovery takes place, with nearly a quarter of predicting an upturn will not occur for twice as long.

"Consumers aren't under any illusions - they know the financial crisis will take time to sort out," said personal finance campaigns manager Doug Taylor.

And Which? noted that almost half of respondents expressed a belief that the government is in the best position to create a solution, with just 14 per cent thinking banks can improve the economic climate.

Last month an Asda poll found that 73 per cent of people blame banks for acting irresponsibly and providing too many secured and unsecured loans.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Regulator to take closer look at high-cost credit

When used well, credit can be a viable way to help make ends meet and balance the books – but the problem comes when that credit is of the high-cost variety. The regulator has will be taking a closer look at the sector to see what else can be done.

The payday loan market is still broken

The payday loan market has been under fire a lot in recent years, and as a result, the financial regulator stepped in. But has it made a difference? Unfortunately, it looks as though there’s still a lot of work to be done.

Get a record low rate loan - if you qualify

Competition in the personal loans market is as hot as ever, so much so that one loan provider has slashed rates to the lowest on record – but only to those who fit the bill. The shopping bill, that is…