Mortgage arrears crisis continues, but the lenders have moved on

It is true that early stage arrears have continued to fall. Rising employment has helped lift some struggling borrowers out of debt and surging house prices have cured many mired in negative equity. That rebound in property prices has certainly helped the banks, as the hefty loan loss provisions taken at the height of the crisis have been unwound, leading to large profits for financial institutions in the past year.

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