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CCJ peak means your opportunity is now

Clare Jarvis | Pepper Money
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30th November 2018
Clare Jarvis, Pepper Money
"By making it clear they have options available, you could provide new hope to your clients and new impetus to your business"

The number of CCJs registered against consumers in England and Wales fell by 13% in Q3 this year compared to the same period in 2017. This is according to the latest figures from Registry Trust.

In the first quarter of this year, the number of registered CCJs hit a record high and over 305,000 judgements were registered against people - more than double the number during the same period in 2015.

Registry Trust says that the average value of a CCJ also fell to £1,337 in Q3, which is lower than it ever has been before. So, what does this tell us?

While the number of CCJs has fallen in the last quarter, it is still historically high with over 275,000 judgements issued.

Despite this, the trend continues for CCJs to be registered for smaller offences which indicates that it is easier for consumers to pick up a CCJ than it has been in the past. So the trend for more people to have an interesting credit record will continue.

The figures from Registry Trust also point to a more immediate opportunity. The record period for CCJs being registered was the first quarter of this year, which means that people who received a judgement during this time but haven’t since now have at least six months since the CCJ was recorded on their credit file. For many mainstream lenders this is still too recent an event to qualify for a mortgage with them. But for specialist lenders, a six-month track record can demonstrate that a borrower has moved on since their period of credit difficulty and there are likely to be many affordable options for the record number of people who received a CCJ earlier this year.

Many of these people may automatically write off their chances of getting a mortgage, be it to buy a new home, invest in property, or remortgage, and so, by making it clear they have options available, you could provide new hope to your clients and new impetus to your business during a traditionally quiet period.

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