Rising bad debt and industry restrictions may finally kill the UK?s access to free banking.
Despite its announcement of booming profits this week, HSBC said it was experiencing increasing numbers of borrowers reneging on their repayments, and a spokesman later stated it may need to consider charging customers for their current accounts.
“Banks are clearly feeling the heat from increased scrutiny over their charges ? the impact of the Office of Fair Trading?s recommended reduction in credit card penalty fees from an average of £22 to £12, said Richard Mason, director at price comparison website www.moneysupermarket.com. “They are also experiencing the need to tighten lending criteria as a result of burgeoning bad debts.”
View this content by subscribing
Please register to unlock this content
I already have an account. Log in
