The overall need for unsecured debt consolidation loans continues to rise as many across the UK struggle with debt that they cannot afford. Lending practices on past unsecured debt consolidation loans have also been blamed for the current state of affairs, since many were granted loans that they could never hope to repay. The fallout from the unsecured debt consolidation loan market is still being felt, and even though demand is very strong for this type of loan, there are few places to find one.
This is expected to continue for at least six to nine months. However, other experts place that figure at close to several years, especially given the current state of the housing market and the economy.
Fionnuala Earley, Nationwide’s Chief Economist said, “While the pace of monthly falls picked up during the month, the less volatile three month on three month measure, eased very slightly in August to 4.5% from 4.6% in July.”
“This is unusual for UK borrowers who, as the Miles Review illustrated, attach enormous weight to the level of initial monthly repayments, rather than considering the potential movements in prices over a longer period,” added a Nationwide spokesperson.
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