Secured lending in December 2013 exceeded the total amount lent in the same month in 2008, according to the latest secured loans index from Loans Warehouse.
Figures for December showed a decrease of 12.71% from November, but the firm explained it is always to be expected at this time of year.
The last three months of 2013 represented the largest quarter the industry has seen since 2009 at £138,470,000, and December was the 26th month of successive year on year growth.
Matt Tristram, co-founder and director of Loans Warehouse & Clearly Loans, said a 66.5% increase on the previous year is an incredible rise.
He said: “The FLA revealed last week that overall consumer finance new business grew by 6% year-on-year, with secured loans showing the biggest percentage increase.”
“The past year has seen the arrival of five new lenders; Clearly Loans; TFS; Firmus Secured Loans; FinSec & most recently, Precise. Whilst Spring Finance has also rebranded as Watchtower.
“Lending figures have increased every single month in 2013 compared to the previous year. At the start of the year, there were certain months I personally thought would be hard to beat. However every single month we have reported increased lending figures on the previous year. Increases ranging from 15% (August) to 66.5% (December).
“Bigger loans, cheaper rates, higher LTVs? Throughout the year a rate war has resulted in all time low rates with the lowest rate currently standing at a proud 5.4%. Additionally loans available are bigger than ever before; early in the year Prestige matched Blemain’s industry leading maximum loan of £500,000 but with a much lower lender fee. As the year progressed Shawbrook also moved its maximum offering to the half a million mark. When Precise launched in November, its plans went up to £1,000,000 but the thunder was stolen just a few weeks before when Prestige launched a new larger loan product up to £2,500,000!”
