Charter Finance’s CEO Dean Perlman was questioned by Mortgage Money as to his view on how the Corona crisis has and will effect borrowing. Dean commented that “given the drastic measures taken by the banks to protect both their balance sheets and in turn, also help the consumer, they have to continue to write deals to maintain profits, particularly given some of the hardships that are, and certainly will be endured by many of their customers in the months (and years) to come”.

Dean continued to advise that “the questions being asked and the information now needing to be provided, is the most that we have ever seen in the history of our business. Lenders need to be as certain as possible that any debt being extended, is being done so responsibly, and that borrowers will not be worse off as a result. For example if applicants are working less days per week or their businesses are facing a downturn”. 

Dean commented further to say that “if structured correctly, the incredibly cheap debt that is now available, will put some in a stronger position to make money out of this adversity, but it needs to be done correctly with the appropriate advice at hand.

This also represents a critical time period for all households with debt, to reduce it as much as possible” (where appropriate in clients circumstances (please talk to your accountant or financial advisor)).