Research: Many firms in business banking debt
A study has found that many firms are overdrawn or owe money from loans.
Many organisations with business accounts remain in debt to their bank and building society as the effects of the worldwide economic slump continue to cause problems, new research has shown.
According to a study conducted by Legal & General and the Institute of Directors, around one third of all companies - 32 per cent - have some sort of corporate debt following the recession, with nearly half - 48 per cent - indicating this was held with their business banking firm through personal loans and overdrafts.
This investigation was intended to gain a better understanding of the security of assets, shares and cash flow of businesses in the UK and found that despite this debt, many firms remain more optimistic about their growth and profitability prospects in 2011.
However, Clare Harrop, head of specialist protection at Legal & General, warned: "Too many businesses still have no cover in place for unexpected events and this poses a huge potential risk for their success and survival."
This comes after research by the Fair Investment Company, which found that 98 per cent of charities are dissatisfied with their business accounts.
Meanwhile, another study has found that 98 per cent of charities are dissatisfied with their business account rate.
New research has found that almost every charity across the UK is unhappy with the benefits they are currently receiving from their business account.
According to a study conducted by the Fair Investment Company (FIC), some 98 per cent of such organisations are dissatisfied with regards to their business banking products, meaning that many may wish to compare savings on packages available in the post-recession environment.
The investigation revealed that the average charity savings account rate is 0.39 per cent, a figure which has caused the level of antipathy towards banks and building societies to remain high.
Julie Smith, head of savings at the FIC, commented: "While all savings rates are low, it is charities, businesses and other groups that are suffering the most, and that is something we want to try and change."
A survey conducted by Deloitte on behalf of YouGov found recently that 32 per cent of individuals would like more competition to be present in the banking sector.
Questions and Answers
A financier has added to its range of fixed bonds deals.
The Payments Council Board has revealed plans to make current account switching easier.
Holders of one AA account can now benefit from a higher interest rate.
People will earn more interest than an everyday bank account, it has been noted.
Another vote has gone in favour of a rise in interest rates from Bank of England policymakers which indicates rates will increase from the lowest rates on record sooner rather than later.
The article consists of the tips for the bankers to have effective followup over the loans granted to their borrowers
Interview with the intending borrower plays a great role in providing a lot of information to the credit manager while he is in the process of extending finance to a new borrower. In this article certain tips are given as to how questions can be posed during the course of credit interview
India: Banking covers the industry overview in terms of inflation, repurchase agreements, new loans, policy banks and foreign banks. It also covers the market trends and outlook including reserve requirement ratio, Basel III, financial integrated circuit cards, non-performing loan and internationalisation of RMB, plus the operational highlights and SWOT analysis of the leading players: State Bank of India, Punjab National Bank, HDFC Bank and ICICI Bank.
Personal banking is the term which is actually devised on the lines of retail banking. The essence of such type of banking facility is that the products and services are custom designed to meet individual banking and subsidiary needs.
Fears about how the problems in the Eurozone will have an effect on the UK, and how being part of the eurozone can be beneficial to some countries and negative to others. The eurozone has a strong influence on natural economic principles and these influences spoil the natural economic balances. Consequently a country's financial problems can continue to spiral whilst other countries can manipulate these factors to their benefit.
Those with the Android operating system on their phone in the UK will be able to download the RBS & NatWest Mobile Banking application soon
Britons are struggling to cope with the rising cost of living, and thus are continuing to accumulate the highest levels of debt seen since that seen at the height of the recession, back in 2009.
Figures recently released by the Office of National Statistics (ONS) show that the economy in the UK has grown by 0.5 per cent in the third quarter of 2011.
Economic downturn may have caused most business' to falter, but credit cards appear to be on the way up!
Summerhouses come in an assortment of shapes and sizes so finding one to suit your tastes can be challenging – especially as it is likely to be a large purchase while becoming a big feature in your garden.
Discuss this Article
