New current account openings have jumped at Virgin Money driven by demand from personal banking and business customers.
The challenger bank - which has its main offices in Newcastle, Leeds and Glasgow - said current account sales rocketed 45% in its third quarter of 2022 as unsecured lending grew 3.8% to £6bn. The rise was driven by card balances thanks to higher retail spending and new digital propositions. Around 160,000 new credit cards were opened during the period.
But in an indication it was strapping in for possible challenges posed by the rising cost of living, Virgin Money said it had tightened up its lending criteria across all of its portfolio, while it also said arrears were low with "limited signs of stress". Mortgage lending remained broadly flat at £57.7bn, reflecting what the bank called "continuing competitive conditions".
