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Debt Collection News Roundup – June, 2017

Here at Access Credit Management we like to make sure we bring our readers interesting and relevant news about our industry so once a month we’ll be publishing a News Roundup.  This should keep you up to speed with all the important goings on within the sector so that you have a resource that keeps you fully informed of all the latest news.  It would be interesting to know what you, the readers, think of the stories that feature here.  Please join in by adding your comments on our Facebook page, tweeting on Twitter or email us if you come across anything that you think we should include.

Business Insider recently published a list of the 23 countries with the highest levels of debt to GDP with the UK featuring at a joint 19 alongside Yemen with 92.2.  The article revealed that debt has increased significantly in recent years although the deficit has reduced slightly after 7 years of austerity measures.  Top of the list was Japan at 234.7% whose economy has faced a rapidly aging population coupled with slow rates of growth in recent years.  Number 2 on the list is Greece at 181.6% a country that is still struggling to make debt repayments after bail outs from international creditors.  The Greek economy is on its knees right now and the evidence is all too plain to see.  Third place is shared by Italy and Lebanon at 132.5% - the Italian financial system is in turmoil while Lebanon shows signs of worse to come.

According to news reports in the UK, 40% of Brits are worried about their debts while 33% revealed that they are juggling three or more credit cards!  Apparently, alarm bells have been ringing with the Bank of England warning that personal debt levels have been rising at the fastest rate since 2005.  UK banks are being urged by the Bank of England to hold more capital and the Bank is bringing forward the part of the annual stress test on banks that examines their exposure to consumer credit by two months, to September.  The Bank warns that mortgage lending conditions in the market are becoming easier and lenders may be placing undue weight on the recent performance of loans in benign conditions.  Debt charities are warning that any increase in borrowing to cover essential household bills could tip households into serious financial hardship

A local Leamington publication has reported on an increase in elderly residents being scammed with only lady sending so much money to fraudsters that it left her unable to pay her household bills!  Scam letters promising good luck and big prize pay-outs have led to another Leamington resident paying out over £12,000 in one year, expecting to receive lottery prizes when, in actual fact, the fraudsters were selling huge quantities of overpriced vitamin pills.  More sinister postal scams involve letters being sent by bogus clairvoyants who frighten the recipients into paying for “lucky charms” to avoid bad luck in the future which they are warned will befall them or their family members.  North Warwickshire Trading Standards are collaborating with the Royal Mail in order to identify and support victims by intercepting the letters and returning their money.