FCA Overdrafts and coronavirus – draft FCA guidance for firms

Regulatory Updates | 06/04/20

Draft FCA guidance sets out its expectations with respect to the exceptional and immediate support to customers facing short-term financial difficulties due to the COVID-19 pandemic. It contains two measures: interest free overdrafts for those in difficulty; and reviews of overdraft interest rate pricing to ensure consistency with the obligation to treat customers fairly in light of the exceptional circumstances. If confirmed, the measures would start to come into force by 9 April 2020.