According to specialist lender CHL Mortgages, things are almost looking rosy in the area of mortgage arrears for both ordinary residents and buy to let packages.
Their figures show that arrears have dropped by 15% from its highest point in February. The most cheerful news is the fact that the indicator the mortgage lender uses to predict the likelihood of future arrears, unpaid direct debits etc., has also fallen substantially.
CHL Mortgages are not talking too much about changes in economic improvement in general, but for the improvement in their arrears situation, however. They are very firmly claiming that their policies have resulted in the upturn in the situation.
Bob Young, Managing Director at CHL Mortgages, said “In a market short of positives, we believe that these falling arrears levels can be seen as a sign of our competency in the collections department and the strength of our underwriting in what have been particularly difficult market conditions.”
This is probably fair enough as they go to great lengths to explain all the changes they put in place to try to make things run more smoothly in terms of people meeting the conditions of their agreements but, as we all know, you cannot get blood from a stone not matter how great your policies. So, the rest of us can be hopeful that as well as reflecting best practice, this improvement also points to things looking up in terms of people’s personal finances.
