Credit, Collections & Insolvency News
The Consumer Credit Trade Association (CCTA) has published a statement in response to the Financial Conduct Authority (FCA) ‘Dear CEO’ letter issued to all high cost short-term lenders (HCSTL) regarding the issues surrounding the increase in complaints about unaffordable lending and how the FCA expect firms to firms to manage the impact. Lenders have been requested to…
Read moreUsio Energy, an energy supplier with around 7,000 domestic customers, has ceased trading. The energy supply of Usio Energy customers will continue as normal, and their outstanding credit balances protected under Ofgem’s safety net. Ofgem will choose a new supplier to take on Usio Energy’s customers. This supplier will contact these customers individually when this…
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The Financial Conduct Authority (FCA) has issued a warning to the high-cost short-term credit (HCSTC) sector amid a rise in complaints about unaffordable loans. The FCA has said it has sent a so-called “Dear CEO” letter to providers of high-cost short-term credit asking them to assess whether their creditworthiness assessments are compliant and whether borrowers…
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The Treasury Committee has published its response to the Household Finances Report from July. Commenting on the response, Rt Hon. Nicky Morgan MP, Chair of the Treasury Committee, said “In its report, the Committee expressed concern about the over-zealous debt collection practices of public authorities. The Government’s rehashing of existing policies in its response adds…
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The financial services industry has committed to providing further support to victims of financial abuse with the introduction of a voluntary Code of Practice. In recent years the financial services industry has recognised the need to address financial domestic abuse and this new Financial Abuse Code of Practice, designed to take forward the Financial Services Vulnerability Taskforce recommendations,…
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The Financial Conduct Authority (FCA) has published two consultation papers, setting out its proposals in the event the UK leaves the European Union on 29 March 2019 without an implementation period. It also set out its approach to the regulation of Credit Ratings Agencies, Trade Repositories and Data Reporting Services Providers. The two consultation papers…
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The Association of Mortgage Intermediaries (AMI) has responded to the FCA consultation on a new directory which will continue to show Appointed Representatives after the Senior Managers & Certification Regime has been extended. This meets the requirements set out under the Mortgage Credit Directive. The AMI says it supports the addition of mortgage advisers to this list to…
Read moreNearly half (48%) UK consumers incorrectly believe they are protected by their bank from authorised transfer fraud, according to the Shieldpay Fraud Tracker. The research from secure payments provider, Shieldpay also reveals a further two in five (38%) people do not know how or if they are protected from this type of scam. Of the people…
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Citibank Europe has been fined €1,330,000 and reprimanded by the Central Bank of Ireland in respect of six breaches of its Code of Practice on Lending to Related Parties. The Code requires credit institutions, including banks and building societies, to have the proper systems, controls, independent oversight and regulatory reporting processes in place to support…
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A specialist financial services advisory team has advised on a landmark legal case in which the director and insolvency practitioner of a major insolvency practitioner business was found to have acted negligently in his capacity as director, and dishonestly in his capacity as office holder appointed in respect of IVAs administered by the business. Following…
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The Financial Conduct Authority (FCA) has fined Tesco Personal Finance (Tesco Bank) £16.4 million for failing to exercise due skill, care and diligence in protecting its personal current account holders against a cyber attack. The cyber attack took place in November 2016. Cyber attackers exploited deficiencies in Tesco Bank’s design of its debit card, its…
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Responding to the publication by the Authorised Push Payment (APP) Steering Group of its draft Voluntary Code for consultation, Stephen Jones, Chief Executive of UK Finance said “The finance industry is committed to ensuring consumers are better protected from the threat of authorised payment scams. Today marks an important milestone in helping us achieve that. Over…
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Citizens Advice has revealed customers who stay loyal to their providers are losing out on over £4 billion a year. The national charity has lodged a super-complaint with the Competition and Markets Authority (CMA), calling for the regulator to outline how the problem can be fixed. The practice of overcharging loyal customers is widespread and…
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