May 25 2013 Latest news:
Ed Foss, Senior writer
Tuesday, October 25, 2011
Credit card holders have been attempting to tackle their debt in the face of financial and employment concerns.
There was more paid off the nation’s credit cards than newly borrowed in September, the British Bankers’ Association (BBA) said in its regular update of banking figures.
It was only a slight margin - new spending for the month was £6.8bn while £7.1bn was paid back. August figures showed a similar pattern.
BBA statistics director David Dooks said: “Households are limiting their borrowing in the face of unemployment concerns and pressure on household finances amid general economic uncertainty.”
The BBA figures also showed that mortgage approvals went down in September to 72,641, from 77,582 in August.
But the gross value of mortgage lending rose slightly to £8.4bn from £8.3bn.
Simon Clark, an independent mortgage broker at Jacobs Payne & Parry Financial Services, said there was an “increased confidence” among lenders.
“They feel that the property market has stabilised and is unlikely to fall much further.
“While demand among consumers is still understandably low, more people are being drawn in by some of the attractive rates currently available.”