Minister talks about access to credit

Published 20 April 2023

We are always interested in hearing from Andrew Griffith, Economic Secretary to the Treasury. He is also referred to as the city minister because financial services fall within his area of responsibility. So when he spoke at the Mansion House about Financial Literacy and Inclusion, it was good to hear him talking about the importance of access to credit.

Increasing regulatory burden leads to a drop in regulated supply

Published 13 April 2023

We are currently reviewing the FCA Strategy to determine its implications for our members. That is being considered alongside the FCA’s proposed regulatory fees and levies. Too often regulators set rules that work well for the big banks and mega insurance companies. The FCA often fails to recognise the important part played by smaller firms and that increasing regulatory burden needs to be considered.

Information exchange templates

Published 06 April 2023

As firms work through the implementation of the Consumer Duty requirements, one key deadline which our members will be aware of is the exchange of information deadline between manufacturers and distributors. Firms will need to have exchanged relevant information with the distribution chain by 30 April 2023. There are requirements for both manufacturers and distributors in respect of this deadline.

CCTA Inform: Spring 2023

Published 05 April 2023

CCTA Inform is an essential ‘easy read’ publication, exclusively available to members. This issue covers December 2022 to March 2023. During this period, we have collected details of legislation, regulatory updates and other announcements that may be of interest. Members should also ensure they are subscribed to our weekly CCTA Update email to be kept up to date with the latest industry news.

Pawnbroking update

Published 30 March 2023

Pawnbroking has a long history, with a reasonable claim to being one of the oldest lending products. It continues to be well-liked by its customers and is positively viewed by its regulator. The CCTA is keen to represent and support members that provide pawnbroking loans as part of the wider alternative lending landscape. We can do this by sharing insights and identifying areas of common interest, seeking to work proactively and being prepared to respond strongly.

CCTA Magazine: 2023 Issue One

Published 03 March 2023

Welcome to our first magazine of 2023. With so many issues swirling around from the cost of living to a barrage of regulatory change, it has not been difficult at all. In fact, this has turned out to be a bumper edition. You will find a range of features and articles that cover many of the issues faced by lenders across the various sectors of consumer credit.

Winter 2023

Published 01 March 2023

TransUnion provided a snapshot of what was happening in the wider economy and how it was impacting on consumer credit. We also invited Helen Lord of the Vulnerability Registration Scheme to join us. A CCTA Update was provided by our CEO, Council chair and Head of Policy and Advice.

Roundtable on Consumer Duty implementation

Published 28 February 2023

This note is a readout from a meeting we recently attended with the FCA. This will interest CCTA members who are involved in Consumer Duty implementation.

‘The Future of Credit’ research – comments by CCTA CEO

Published 22 February 2023

Nice to be invited to the Finance and Leasing Associations dinner tomorrow, always a remarkable event. More important than the invitation to dinner is the strong collaboration between credit associations on issues that are of importance to our members. One of the common areas of work is the promotion of the value of credit to UK families and businesses. So, I was pleased to see the work being carried out by the FLA on the use of credit and especially the future of credit.

Commission and disclosure – update

Published 14 February 2023

Earlier in the year we wrote out to all our members with an interest in motor finance about the increased regulatory interest around commission disclosures. I recently had the opportunity to join other trade association representatives in a discussion with the Financial Ombudsman Service (FOS) about issues or sectors that might attract more customer complaints.

FOS discussion update

Published 09 February 2023

It was good to talk to the Financial Ombudsman Service earlier in the week. We raised some concerns that our members had during the FOS discussion. However, we also welcomed their commitment to more engagement with the consumer credit industry. One of the issues that we are particularly keen to raise in our FOS discussion is their approach to Consumer Duty.

Commissions and disclosures

Published 18 January 2023

Following FCA’s extensive review of the motor finance market, the regulator moved to ban discretionary DiC commission arrangements and apply commission disclosure changes with effect from 28 January 2021. Accordingly, the rules around commissions and disclosures were updated in the FCA’s Consumer Credit Sourcebook (CONC), primarily in CONC 3 and CONC 4. Since then, however, the industry has seen a rise in claims and complaints concerning unfair and/or undisclosed commission arrangements. Motor finance lenders and brokers alike have reported increased claims in this regard, mainly via claims management companies (CMCs) and legal firms.