Robins Global News & Noticias

  • Gaming Chair Review
    Gaming Chair Review
  • Writing Service Review
    Writing Service Review
  • Slot Game Review
    Slot Game Review
  • Download TV Series
    Download TV Series
  • Online Video Editors
    Online Video Editors
  • All Elite Wrestling
    All Elite Wrestling

RobinsPost News Network

+ Larger Font | + Smaller Font

Economic News Reports

London Sees 14% Increase In Applications For High Cost Short Term Credit

London Sees 14% Increase In Applications For High Cost Short Term Credit

The bright lights of London are attractive to many, but the cost of living in the capital continues to increase, making it more difficult for many to make ends meet. According to an ongoing monthly report compiled by award winning credit broker Cash Lady, there was a 14% increase in applications for high cost, short-term credit between April and May of this year.

Photo Credit -

Looking at the numbers in more detail, in May there were 1148 applications sent to Cash Lady, a rise of 14.46% from the 982 requested in April. The main reason listed for the loans was for an unexpected expense, which could be anything from repairing a car to fixing a leaky roof. With more people being forced to find work in the gig economy, it suggests an increase in the amount of workers living cheque-to-cheque who may find it hard to cope if an unplanned bill needs to be paid.

The average monthly income of applicants was £1727.07, a slight increase of 1.12% from April’s £1707.73. This is much lower than the average salary in London, which currently stands at £35,488, although this is a largely distorted figure as it incorporates salaries from the finance sector and other high-paying industries.

Either way, this sits at the lower end of earners in London, which further cements the suggestion that many loan applicants are employed in low-paid jobs. When you look at the top employers of those seeking high-cost, short-term credit, it is noticeable that Sainsbury’s and Tesco hold the first two slots, while the NHS are the third.

While these employers do meet minimum wage requirements, even full-time staff in London will find there isn’t much left over each month after all their bills have been paid.

Also worth noting is the second highest reason for the loan request was to pay bills. This means covering monthly outgoings such as electric, gas and council tax charges. While there are no age statistics provided in the data, the reason could be there are more younger, low-paid workers looking for payday loans to cover their costs.

According to the Institute for Fiscal Studies, as many as 40% of the poorest fifth of households find themselves in some form of credit arrears, or spend over a third of their wages serving their debt.

The average loan amount requested by applicants was £377, which remains unchanged from the previous month. While this may not seem excessively high, when looking at the average monthly income of those requesting a loan, it accounts for 21.82% of their monthly salary. It underlines how much of an impact an unexpected expense can have on the lives of low paid workers, and the difficulties they may face in paying it back.

When you factor in the ever increasing costs involved in renting a property in capital, it’s easy to see why more people are turning towards loans. According to a report earlier this year, which compared the cost of living in 279 cities around the world, London is the most expensive in Europe and the fourth most expensive in the world behind Hong Kong, New York and Tokyo.

Print Friendly and PDF Share Embed

Related News Stories From The Web And More

Related Bing News

London Sees 14% Increase In Applications For High Cost Short Term Credit | Economic News Reports | RobinsPost News Network - Newscast

Short-term strategies limit risk in private debt

Mon, 19 Aug 2019 03:31:00 GMT

LONDON, Aug 19 (LPC) - Smaller European direct lenders are raising funds and lending on a short-term basis in a bid to limit potential late cycle credit losses, as macroeconomic and political risks ...

After The Yield Curve, What Next?: Corporate Profits, Tightened Credit, And Commercial Loans

Mon, 19 Aug 2019 03:18:00 GMT

After that, a tightening of credit conditions must take place for all the conditions to be ripe for a producer-led downturn. Last week, I wrote that the short-term forecast on the producer side of ...

Fidelity Series Short-Term Credit Fund

Thu, 01 Aug 2019 17:00:00 GMT

The Fund seeks a high level of current income consistent with the preservation of capital. The Fund invests at least 80% of assets in investment-grade debt securities of all types and repurchase ...

Mirabaud - US Short Term Credit A USD Acc

Wed, 31 Jul 2019 17:00:00 GMT

The Sub-Fund aims to provide a return of capital growth and income by seeking out the best investment opportunities across within the US short term fixed income universe. The performance data shown in ...

Northwest Community Credit Union Short-Term Loans, Powered by QCash Financial's Platform, are Meeting Member Needs

Wed, 31 Jul 2019 10:54:00 GMT

OLYMPIA, Wash., July 31, 2019 /PRNewswire/ -- Headquartered in Eugene, Oregon, Northwest Community Credit Union (NWCU) launched two new products earlier this year called Northwest Cash and Northwest ...

Related News Story Videos From Youtube

Short-Term Financing

Related Videos On: Short-Term Financing

How to Dramatically Increase Your Credit Score (Short Term Strategy)

Related Videos On: How to Dramatically Increase Your Credit Score (Short Term Strategy)

SHORT TERM FINANCING - Trade credit (Problem solution)

Related Videos On: SHORT TERM FINANCING - Trade credit (Problem solution)

Short term finance in hindi

Related Videos On: Short term finance in hindi

How to Improve Your Credit Score (Long-Term) as a Millennial

Related Videos On: How to Improve Your Credit Score (Long-Term) as a Millennial

Blow Us A Whistle

Comments (Whistles) Designed By Disqus

Company Information

Official Content Providers


We recommend Firefox 3 (and above), Edge, and Chrome for dynamic performance.
© 2008-2019 RobinsPost (The Bird's Eye View Company) All rights are reserved.
RobinsPost provides links to news sites based on their RSS feeds.
All trademarks, copyrights, videos, photos and logos are owned by news sources.
News stories, videos and live streams are from trusted sources:
Bing News, Google News, Faroo News, and YouTube Search Results.
ROBINSPOST Is Proudly Made In America.
Where Quality, Safety and Service Comes First.