Credit, Collections & Insolvency News
The average credit card holder in the UK believes they will continue to use a physical card for just nine and a half more years, according to new report by finder.com. The figure is quite consistent across all age groups, ranging from millennials who expect to keep using them for under 9 years, all the…
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The Financial Policy Committee (FPC) has confirmed that it will withdraw its affordability test Recommendation. The change will come into effect from 1st August 2022. Introduced in 2014 the test specifies a stress interest rate for lenders when assessing prospective borrowers’ ability to repay a mortgage. The other Recommendation, the loan to income (LTI) ‘flow…
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New figures released by the Finance & Leasing Association (FLA) show that consumer finance new business grew by 21% in April 2022 compared with the same month in 2021. In the first four months of 2022, new business was 30% higher than in the same period in 2021. The credit card and personal loan sectors…
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New figures released by the Finance & Leasing Association (FLA) show that consumer car finance new business volumes fell in April 2022 by 1% compared with the same month in 2021. The corresponding value of new business grew by 12% over the same period. In the first four months of 2022, new business volumes were…
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The Financial Conduct Authority (FCA) has published a list of funeral plan providers it intends to authorise when the pre-paid funeral plans industry comes under its regulation from 29th July. 24 firms are on the list, including the largest funeral plan providers. Together these firms hold approximately 87% of existing customer plans. The FCA is…
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The Government has announced a major reform of the Consumer Credit Act, with this marking an effort to modernise the framework for credit firms. Ministers are looking to give more power to the Financial Conduct Authority (FCA) as part of the changes, which the Government said would enable the regulator to quickly respond to developments…
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Nearly half (43%) of all large financial institutions have already adopted Open Banking according to a new report from API-driven identity management company Curity. The research shows that nearly half of all large institutions in the finance industry have already adopted Open Banking, with almost three-quarters (70%) planning to adopt it in the next 18…
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Data from Barclays show young adults are the most likely age group to have been scammed in recent months, with one in four victims aged between 21 and 30. This is despite 76% of this age group saying they are confident they will not get duped. Barclays said scams often take place on tech platforms…
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The Financial Conduct Authority (FCA) is planning tougher curbs on bank branch closures, saying Banks and Building Societies will have to provide greater justification for closing a branch or cutting opening hours. The FCA is also consulting on requirements for more detailed analysis on how firms assess the impact on customers when they plan to…
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Half (48%) the UK public think a key reason more young adults today cannot afford to buy their own home is they spend too much of their income on things like takeaway coffees and food, mobile phones, subscription services like Netflix and holidays abroad, according to a new study by the King’s College. In reality,…
Read moreGuarantor loan provider, TFS Loans (in administration) has been fined £811,900 by the Financial Conduct Authority (FCA) in relation to deficient affordability checks on 3,150 guarantors in its consumer credit business. The FCA has also imposed a requirement on TFS to redress the guarantors that were harmed by the firm not conducting appropriate checks. TFS…
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Over the next five years rents are expected to grow faster than house prices (5% for rents and 4% for prices) according to research from the Royal Institution of Chartered Surveyors (RICS). The research showed that demand from prospective house buyers fell in May 2022, a potential side effect of the rising cost of living…
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Apple has announced that it will launch its own Buy Now, Pay Later (BNPL) option. The iPhone maker’s Apple Pay Later service will allow users in the US to pay for purchases in four instalments over six weeks without being charged interest or other fees. The service will be available anywhere that accepts Apple Pay…
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