Credit crunch: Britain's largest provider of secured loans closes doors to new customers
Britain's largest provider of secured loans, Firstplus, which has been promoted by Carol Vorderman, is shutting down to new business.
The finance company, owned by Barclays Bank, is cutting 300 jobs following a decision not to take on any new customers.
Firstplus, which has been at the centre of the hard- sell of loans to people struggling with debts, will not offer new loans to customers from August 9.
Firstplus, promoted by Carol Vorderman, will not accept new customers
The company claims demand for its loans, which can be very expensive, has dried up despite the raft of TV commercials featuring the millionaire star of Countdown.
The decision to pull the plug on new business is the latest evidence of the impact of the credit crunch on the finance sector and consumers.
A spokesman for the personal finance comparison website uSwitch.com said: 'Today's news is a huge blow to the personal loans market and another signal that the consumer credit market is quickly drying up.'
