FIN.

Category - Consumer Finance

FCA publishes individual ban notice

FCA has published a decision notice noting its decision to ban Markos Markou, director and CEO of a mortgage broker, and to fine him £25,000.  FCA considers Mr Markou not fit and proper to perform his senior management...

FCA updates on workstreams

The FCA has provided updates on the following 4 workstreams: Assessing Suitability Review (ASR 2) – ASR 2 was placed on hold in April 2020. The FCA has decided not to continue planned work on ASR 2 in 2021/22. This will...

FCA publishes Business Plan

FCA’s 2021/22 Business Plan highlights: how FCA has to change as the environment in which it operates changes and how investment in technology and changes in culture are key to this; the need to enable customers...

More of FS Act comes into force

The second Commencement Order under the FS Act 2021 brings into force: on 28 June the provisions on forfeiture of money in relation to EMIs and payment institutions, as they extend to Northern Ireland; and on 1 July...

Government responds on financial exclusion

The Government has published its response to the Lords Liaison Committee report on tackling financial exclusion. Key elements of the response consider: access to cash: the response notes that the FS Act 2021 will allow...

FCA confirms role in RLS

FCA has confirmed its approach to regulating firms in relation to the Government Recovery Loan Scheme that was launched by the British Business Bank on 6 April to replace the BBLs and CBILS which are now closed to new...

FCA publishes updated information sheets

The FCA has issued updated consumer credit information sheets in accordance with the CCA 1974. The updates are to provide more targeted and useful help to customers, particularly those with mental wellbeing issues. The...

FCA responds to Amigo Scheme rejection

The High Court has refused to sanction Amigo’s proposed Scheme of Arrangement. The FCA, having previously objected to the Scheme, has now responded to the ruling. The FCA considers the decision is an important...

No timescale on BNPL

In answer to a question in Parliament, the Government confirmed its intention is still to bring forward secondary legislation to bring forward currently unregulated BNPL products “when Parliamentary time...

FCA consults on new Consumer Duty

The FCA has set out plans for a new Consumer Duty which will set clearer and higher expectations for firms’ standards of care towards consumers. It is hoped that the proposals will drive a shift in culture and behaviour...

Banking industry supports access to cash

UK Finance and the UK’s largest retail banks and building societies have announced their commitment to continue to preserve access to cash for consumers and businesses over the long term. The 8 financial...

Breathing Space scheme takes effect

The Debt Respite Scheme (Breathing Space Moratorium and Mental Health Crisis Moratorium) (England and Wales) Regulations 2020 took effect on 4 May 2021. The scheme aims to help millions of people in debt crisis get...

FCA publishes H2 2020 complaints data

FCA’s most recent complaints data report shows: a significant drop in complaints over the H1 2020 figure; a large decrease in insurance and pure protection complaints – with the largest being in PPI...

FCA speaks to FLA on post-Covid regulation

Charles Randell, Chair of FCA and PSR has given a speech to the Finance & Leasing Association in which he outlined the ways in which the financial services sector has changed post-Covid and how FCA must adapt to...

Lender’s duties limited in asset disposal

In a helpful decision for Banks and lenders, the Court of Appeal decision in Morley (trading as Morley Estates) v Royal Bank of Scotland plc [2021] EWCA Civ 338 confirmed the limited extent of the duties a lender owes...

Financial Services Bill continues in Lords

The House of Lords has continued its scrutiny of the Financial Services Bill during the report stage. The proposals debated on 14 April include amendments to: remove the prohibition under the Market Abuse Regulation on...

FS Bill continues in Lords

The Financial Services Bill is scheduled to continue its Report stage in the House of Lords next week, with some further amendments being tabled.

FCA publishes fin prom data

FCA has published data showing the number of financial promotions that have been amended or withdrawn in the first quarter of 2021. The figures do not include any actions FCA took as a result of unapproved promotions...

FCA concerned on Amigo scheme of arrangement

FCA has taken the relatively unusual step of publishing a letter of concerns it lodged in relation to Amigo Loans’ application to implement a Scheme of Arrangement. FCA does not support the scheme for a number of...

FOS publishes 2021/22 plans and budget

FOS has published its plans and budget for 2021/22 which were consulted on between December 2019 and January 2020. FOS has forecast a reduced caseload in 2021/22 following the unprecedented increase during 2020...

CMA publishes annual plan for 2021/2022

Following consultation, the CMA has now published its annual plan for 2021-2022. The CMA has identified four key themes on which it intends to concentrate: protecting consumers and driving recovery during and after the...

FCA increases contactless payment thresholds

FCA has published a policy statement outlining the amendments to Article 11 of the  strong customer authentication RTS. The changes increase the single transaction threshold for contactless payments from £45 to £100 and...

FCA finalises Breathing Space rule changes

FCA has published its final changes to CONC to clarify how its rules apply where the Breathing Space Regulations also apply. Its aim is to avoid any unnecessary duplication of requirements.  The Regulations allow ...

Treasury and FCA discuss perimeter report

Treasury and FCA have met to discuss the September 2020 report on the regulatory perimeter. Discussions focused on: high risk investments and the potential need to review the current exemptions that allow marketing to...

FCA publish latest coronavirus updates

The FCA has today published an update on mortgages, consumer credit, banking and payments during coronavirus. The main points can be summarised as follows: repossessions under mortgages cannot be undertaken without...

FCA publishes BBLS PAYG guidance

FCA has published its finalised guidance for firms that provide Pay as You Grow options under the BBLS. The guidance: notes that CONC 7 generally applies to set out the rules for fair treatment of customers in arrears...

Insolvency Service Guidance: Breathing Space

The Insolvency Service has published its guidance on the Debt Respite Scheme (Breathing Space). The guidance is intended to support creditors in understanding the Breathing Space Regulations and sets out information on:...

FCA updates on complaints data

FCA has published its latest firm-specific and aggregate complaints data from firms for H1 2020.  It specifically notes: the lowest levels of recorded complaints since H2 2016 – firms received 2.96m; the largest...

BoE Financial Stability Report

The Bank of England published the Financial Stability Report for December. The report sets out the Financial Policy Committee’s view on the stability of the UK financial system and what it is doing to remove or...

Up next from FCA

FCA’s latest policy development update highlights as due before the end of the year consultation on changes to accommodate the Breathing Space Regulations.
Most other consultations are due in the New Year

FCA pleased with RTO price cap

FCA has published an evaluation, which it says shows its rent-to-own price cap, which took effect in April 2019 has been effective in reducing the prices RTO firms charge.  It says the prices of the two largest firms in...

FCA makes new rules

FCA’s latest Handbook Notice confirms it has made the following rules at its last 3 board meetings: changes to reflect the extension of various SMCR deadlines as a result of the pandemic (made in October); the...

HM Treasury extends consultation deadlines

Financial Services Future Regulatory Framework Review Phase II Consultation – further to the consultation document published on 19 October 2020, the consultation has been extended by one month to 19 February 2021...

Ombudsman News looks at trends and stats

The latest edition of Ombudsman News looks at its recently published complaints data (previously featured in  detail in FIN), which saw a rise in complaints from people who borrowed money and then felt the debt was...

FCA: Covid support for consumer credit

The FCA yesterday published it’s next stage of enhanced support that firms must offer consumer credit customers facing payment difficulties as a result of the COVID-19 pandemic (FS20/18). If you’d like to...

FOS approach to CCA complaints

The FOS has published a website setting out its general approach to complaints about consumer credit products. The website sets out details of the types of complaints the FOS will consider, their approach to reviewing...

Covid-19 support update: mortgages

The FCA yesterday announced updated guidance for  mortgage customer facing financial difficulties as a result of Covid-19.  Under the extension, eligible customers will have until 31 March 2021 to apply for an initial...

FCA writes supervision letter to PCWs

FCA has written a portfolio supervision letter to CEOs of price comparison websites.  The letter notes the key priority that customers buying products through PCWs should buy products consistent with their demands and...

FOS publishes Q2 information

FOS has published complaints figures for July – September 2020 (Q2 2020). It: received 69,000 complaints in total received over 5,900 Covid-related complaints referred over 9,000 complaints to an Ombudsman upheld...

Up next from FCA

Before the end of the year, FCA expects to publish:

consultation on amendments to take account of Breathing Space Regulations;
consultation on fees policy; and
feedback on the debt advice levy rate.

FCA updates on EEA regulator Brexit guidance

FCA has put together an information page sharing links to the websites of EEA regulators on which they have published guidance about the effects of Brexit on UK firms operating in their jurisdictions.  Some of the pages...

EC report on CCD

The European Commission published a report yesterday to the European Parliament and Council of the EU on the implementation of CCD. The key outcomes of the evaluation fall into the following headings: Effectiveness...

Covid-19 measures weekly summary

It’s been a while since we needed to do a digest of these.  In the light of the new English lockdown and the expiry of various measures, the last week has seen: FCA consultation on updated guidance for consumer...

EBA urges consumers first in POG supervision

EBA has published a report encouraging firms to put consumers’ interests first when they are applying product oversight and governance arrangements. It has found this focus is lacking in many firms. This report...