“Notably, 90+ day delinquencies have now fallen for the fourth consecutive month, and mortgage inquiries rose 10.6%, largely driven by increased refinancing activity,” she said.
However, company insolvencies remained high and accounted for nearly 70% of all liquidation applications, compared with between 30% and 40% during the Covid years.
She said the increase reflected the low level of arrears recorded during the Covid era, as the credit sector softened its approach to chasing bad debts.
“So the liquidation activity that we’re seeing, whether it’s related to IRD or not, is what we would call a lag indicator.”
She said the lag had a long tail and expected it would take time for the current level of arrears to wind its way…