Speaking at the recent Credit Show, at London’s Commonwealth Institute, Stuart said: “Although possessions by lenders are at their lowest for more than 20 years, everyone concerned with mortgage lending should guard against complacency. We are enjoying a favourable economic climate, currently with low interest rates and full employment. There is also a greater focus on affordability, which has been reinforced by the FSA’s rules on mortgage sales, and lenders make every possible effort to prevent taking the ultimate step of possession.
“Bank of England figures show that the rate of growth of consumer borrowing is slowing, but overall debt is still rising, and the proportion of secured lending within the total has risen sharply over the past five years. It would be unwise to forget that mortgages are secured loans, with the ultimate sanction of possession, and continued vigilance on this front is to be recommended.”
