Impaired Credit

Big debts and bad debts are getting more common. Figures from credit card companies, loan firms and mortgage lenders all show we are borrowing more than ever – and increasingly struggling to meet the repayments. Consumer groups like Citizens Advice and National Debtline say near record numbers are getting in touch because they need help paying their bills. Meanwhile headlines are being made about the trend towards bankruptcy and Individual Voluntary Arrangements or IVAs.



If you’ve got big debts, or have started to miss a few monthly repayments then need to take care to protect your financial future. ‘Bury your head in the sand then it can be a lot harder to pull yourself out of trouble,’ says Malcolm Hurlston, chairman of the Consumer Credit Counselling Service charity.

The good news, though, is that if you do get back on track you will no longer be excluded from the mortgage or other credit markets. Banks are now happy to accept new customers who have less than perfect credit histories. What’s known as the ‘impaired credit’ market is booming. But while a host of new players are currently joining it, experts fear that some borrowers are failing to shop around properly and are paying more than they need for new loans. This independently researched and written website is designed to help people make the most of the impaired credit world. Here are the six key facts about the sector.

Neil Simpson is a former Personal Finance Journalist of the Year and writes regularly on property, mortgage and insurance issues for the Mail on Sunday, City AM newspaper and many other publications.