Refused for credit?

The number of people being turned down for credit rose last year and a report from analysts Datamonitor predicts that it could hit 8.6 million by 2011.

As there are now more people than ever with credit, it is inevitable that there will be an increase in the number of people who find themselves unemployed, bankrupt, missing repayments or with a County Court Judgment (CCJ). These are the main reasons people subsequently find it difficult to get credit.

Disappointing news.

Figures show that in 2006, over 7 million people were declined and that over 17,000 homes were repossessed. There was also a 32% rise in the number of people receiving a CCJ and a 33% rise in the number of bankruptcies. This combined with the recent interest rate rises and the credit crunch on the stock markets around the world means getting credit could get harder in the years to come.

Act quickly. 

If you're struggling or you've got a large balance on a number of credit cards, act now to get your finances in order. If you put a good budget in place you can avoid becoming one of the statistics and if necessary, consider a consolidation loan.