Provident Financial says 2010 on track

5th May 2010 14:24

Sub-prime lender Provident Financial said it is on track to deliver good quality growth in 2010.The year-on-year rate of new customer growth in the Consumer Credit Division has remained at around 5% during the first quarter of 2010.Receivables growth slowed, but the group said this is consistent with its planning assumption and guidance of low single-digit growth in receivables for 2010. April has seen a lift in the volume of credit issued, it added.Vanquis Bank experienced continued strong growth in the volume of card applications during the first three month of the year. Underwriting standards have remained consistent with the second half of 2009, resulting in an unchanged application acceptance rate of 17%. "I am pleased with the start to 2010 and, in particular, the sound collections performance through the first four months of the year," said chairman John van Kuffeler."Management's strong control of asset quality and careful attention to margins and costs is proving to be the correct approach in the context of an employment market that is unlikely to improve materially this year."