A survey by the Bank of England today revealed that banks across Britain are all set to make credit more easily available, and with more lenient policies, to households and businesses during 2010's first quarter. The development has hinted that the credit freeze is slowly going away.
As revealed by the Bank's quarterly credit conditions survey, lenders have said that the improvement in choices of mortgages was the most for people who are looking to borrow over 75% of their property's total value, which is a group which has been, hurt the most by the credit crunch.
"Credit availability was expected to improve further in the first quarter of 2010 for corporate and for secured lending to households and to stabilize for household unsecured credit", the survey said.
A majority of lenders, for the first time in more than 2 years, have reported that they had hiked the maximum loan to value. Over the coming three months, these are expected to rise even further.
The easing of the current credit conditions, as stated, has been made possible solely on the back of an improving economic outlook.