From ‘Haves' to ‘Have-nots': How COVID-19 Is Swelling UK's Subprime Ranks

One morning, after years of financial prudence and solid creditworthiness, you wake up and it’s all gone. You’re no longer worthy. You’re a risk. In fact, you’re sub-prime. That is the fate facing thousands of Britons who, often for no fault of their own, could begin 2021 as “subprime” borrowers if they have had more than six months’ of relief from COVID-19 debt woes, Reuters reported. This could have dire consequences for people who have historically struggled to access credit, especially those on low incomes. The situation also illustrates the unenviable dilemmas facing authorities around the world who have taken unprecedented steps to keep societies intact during the pandemic, including requiring lenders to offer customers payment holidays. Read more