Lending Strategy
Growing the mutual lending sector: what is the data showing us?
In October 2023 we were host to a packed event with credit unions and stakeholders to discuss growing the mutual sector during a tougher lending climate. Expert speakers discussed the data, lending risk and Information Technology. Tough times for mortgagees We kicked off the event by looking at the data. Borrowers to credit unions are…
Read MoreHow should Northern Ireland credit unions respond to rising interest rates and affordability issues?
With rising interest rates, the cost of living crisis and affordability issues, Northern Ireland households are under financial pressure. It’s becoming harder for you to lend to new and existing members and support your community. Overall, accept rates for loans fell by 5% between 2022 and 2023 in line with the fall in credit scores.…
Read MoreRising mortgage rates and affordability
Rising mortgage rates and affordability is a big issue for lenders right now. Can people with mortgages afford to borrow? It’s important to know how much costs have risen and what impact that has on affordability and credit risk. Our last blog explained how those with better credit scores (who are more likely to have…
Read MoreBetter lending during the cost of living crisis
How do we ensure better lending during the cost of living crisis? Accept rates for credit union loans have fallen significantly over the last year. This can be partly explained by the increasing indebtedness of borrowers. The average non-mortgage debt of credit union applicants rose by 14% in the year ending February 2023. However, applicant…
Read MoreBuy Now Pay Later for Credit Union Borrowers
We can now see how Buy Now Pay Later for Credit Union borrowers is impacting their credit reports. There was a big upload of Buy Now Pay Later (BNPL) agreements to the credit bureau at the end of January. These data are now returned to our decision engine. Currently BNPL does not have an impact…
Read MoreCar loans roundtable
20 credit unions attended our Car Loans Roundtable on 10th November. The meeting explored the opportunity the Finance Bill presents for credit unions wanting to grow their loan books. Currently passing through Parliament, when enacted the Bill means credit unions will be able to offer Conditional Sales Agreements. Conditional Sales Agreements are similar to hire…
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