Building society says it expects relatively few of its customers to default on repayments in cost of living crisis
Nationwide Building Society is bracing itself for a rise in bad loans and a drop in mortgage lending as borrowers grapple with the impact of surging living costs and a long recession.
The UK’s second largest mortgage lender said that while few borrowers had fallen behind on loan payments so far, it had put aside £108m to cover potential defaults in the first half of the year. That compares with the £34m it released due to improving conditions during the same period in 2021, when the country was recovering from the Covid pandemic.
Building society says it expects relatively few of its customers to default on repayments in cost of living crisisNationwide Building Society is bracing itself for a rise in bad loans and a drop in mortgage lending as borrowers grapple with the impact of surging living costs and a long recession.The UK’s second largest mortgage lender said that while few borrowers had fallen behind on loan payments so far, it had put aside £108m to cover potential defaults in the first half of the year. That compares with the £34m it released due to improving conditions during the same period in 2021, when the country was recovering from the Covid pandemic. Continue reading…
