Moneybarn (owned by Provident Financial) has been informed that the Financial Conduct Authority (FCA) has commenced an investigation in relation to the processes applied to customer affordability assessments for vehicle finance and the treatment of customers in financial difficulties. It is thought that Moneybarn has around 50,000 customers.
The turmoil at doorstep lender Provident Financial intensified today after the City watchdog launched a second inquiry into its lending activities.
The FCA is also examining activities at Vanquis Bank, also owned by Provident. Shares values decreased yesterday following the announcement.
Executive chairman Manjit Wolstenholme took over leadership of the business following Peter Crook’s resignation, but Wolstenholme passed away suddenly last month. Senior independent director Malcolm Le May is now steering the company as the board search for a new boss and chairman.