FLA sets out priorities for 2020, calls for update to CCA

Industry News | 09/12/19

The Finance & Leasing Association (FLA) has published its Priorities for 2020 and beyond, commenting that, it its view, the 45 year old Consumer Credit Act 1974 (CCA) is failing customers in both its requirement for lenders to send old-fashioned and severe letters to borrowers in financial difficulty, and by imposing delays on how quickly lenders can step in to offer those customers more time to make payments. The FLA considers that the CCA requirements also make it “unnecessarily complex” to finance a low-emission vehicle and its charging point in the same transaction, which hampers the widespread uptake of greener vehicles. The FLA’s report makes three principal recommendations for the incoming government: to update the CCA; to use the updated Act to help the roll-out of green finance; and to transform the provision of finance advice, thus unlocking the growth of UK businesses.