Credit Strategy is today launching a survey with Experian to discover how lenders are reviewing and evolving their use of data, to provide forbearance during the pandemic.
The Finance & Leasing Association (FLA) has demanded the government take action to support non-bank lenders “in days”, after forbearance requests to its members reached almost 1.2 million.
The trade body renewed its call to the government and the Bank of England to take urgent action, just as its own research revealed FLA members provided just over £138bn of new business in the year to March 2020. Of this total, £44bn was provided by non-bank lenders.
Stephen Haddrill, director general at the FLA, said: “The asset, consumer and motor finance markets have been hit hard by the measures taken to deal with the coronavirus crisis, with a 20 percent fall in new business in March alone.
“FLA members have also faced almost 1.2 million Covid-19 related requests for forbearance, of which 75 percent have already been granted. The industry is committed to supporting their customers during these exceptional times.
“Urgent action is needed – in days, not weeks – to deliver financial support to the non-bank lending sector to ensure that we maintain a financial services sector that is diverse, innovative and competitive.”
The trade body’s statistics for business volumes through March show the following: