Loans Warehouse, which compiles a monthly Secured Loan Index, has reported that by November 2014 the sector had lent almost £100,000,000 more in 2014 than the previous year, with still December’s figures to be taken into account.
During the month there was a 13% dip in lending compared to a record breaking October, but the figures continue the trend of increased monthly year-on-year lending, now standing at an amazing 36 consecutive months.
November’s second charge lending totalled £53,228,739, Loans Warehouse said.
“Something that has become a trend of late is seeing lenders continue to make improvements to their product offerings and the last month has been no different,” explained Matt Tristram, co-founder and director of Loans Warehouse.
“Both Blemain Finance and Central Trust have reduced their rates and simplified their criteria. Nemo Personal Finance have reduced rates whilst introducing two large-loan plans and increasing the availability of AVMs. Paragon Personal Finance have expanded into the Scottish secured loan market and Shawbrook Bank have launched two new plans, Super Platinum and Super Prime.
“The changes we are seeing now on a regular basis are enabling us to register with more and more consumers. We’ve all wanted to grow the industry (to be fair, we never wanted it shrink!) and have long been of the opinion that it will take new, innovative products to achieve that goal – no one wants to just replicate what is already available, the aim has got to be to reach out and be appealing to consumers who we previously wouldn’t have been able to service.
Secured loans are starting to have a broader appeal.
“Another area of activity is the technology used in our market. Our industry has for a long time been relatively manual, almost anti-technology when compared to more automated sectors such as first mortgages, unsecured and peer-to-peer lending. However, the last few months have seen a definite move towards embracing technology, with the aim to be able to provide consumers with the most fit for purpose product in a quicker, more efficient way.”
Tristram added: “There are now numerous lenders working towards automation so no doubt the start of 2015 will be an exciting time for all concerned.”