In our latest webinar we explore the ongoing impact the pandemic is having on the financial health of low-income borrowers.
The webinar examines how credit scores, missed payments and indebtedness are changing and how these affect borrower risk.
Our evidence shows that borrowers’ problems start with loss of income.
Whilst waiting for tax credits or work, credit cards and overdrafts fund essential purchases.
With reduced incomes, it’s hard to make credit repayments. Arrears result. Credit scores tumble. Legal action may commence. It’s almost impossible to get credit from mainstream lenders. Consequently, more people will turn to high cost credit.
Because of this loans already made are less likely to be repaid.
Our data shows a divergence between those on the lowest incomes (made up mostly of benefits and tax credits) and low-paid workers earning less than the median wage.
The research helps lenders and stakeholders build better intervention strategies to improve financial health.
Watch the webinar
View and download the slides
Find out more about our tips service
Our email tips service keeps lenders in touch with borrowers. This is especially important for those who may have gone quiet since taking a repayment holiday. Better still, the email tips service is FREE of charge.
Any responsible lender can send these tips by email to their users and we’ll help them keep on top of their finances and avoid the backward steps of Covid outlined above.