Encouraging start to the year for home credit provider
Home credit provider Morses Club has said in a trading update that despite the ongoing Covid crisis, the Group has had an “encouraging start to the [new financial] year” with “a steady increase in customer demand” across all of its products both the home collected credit (HCC) and digital divisions a.
It noted that in the first quarter of FY22 and following a fall in revenues last year customer numbers within its digital operations on both short-term and long-term lending have increased by 40% and the total loan book has almost doubled (up 99%) relative to its position at the end of the previous financial year.
As a result the firm said its new credit issued is a third above management’s budgeted plans and noted collections were also 4% ahead of budget and 118% ahead of the same period last year.
Paul Smith, chief executive officer of Morses Club, said: “Despite the continued impact of the pandemic, trading performance across all of our lending products has been very strong in the first quarter of FY22.”
He added that the “encouraging start to the year” was the result of “standout delivery” from all the Leeds-based firm’s teams and agents.
Looking to the future the Group expects to continue its momentum with an “unrelenting” focus on Smith said “becoming a leading provider of financial products and services for our target customers” .
The firm has continued to improve its technology infrastructure to meet customer needs and as a result of the panemic has seen two thirds of HCC lending becoming cashless with over 70% of customers registered for an online customer portal.
Smith added: “The success of the remodelling of our services to meet the needs of customers in the context of the Covid-19 pandemic has made us all the more determined to become sector-leading in terms of meeting customer demand.
“The importance of a technology-led offering has never been clearer. Our investment and focus on ensuring our service model adapts to changing customer needs, whilst maintaining our core ethos of putting the customer at the heart of what we do, is central to our success as a Group.”
