CCTA responds to the ‘Dear CEO’ letter issued to payday lenders by the Financial Conduct Authority

Published 17 October 2018

The FCA has published a ‘Dear CEO’ letter issued to all payday lenders regarding the issues surrounding the increase in complaints about unaffordable lending and how the FCA expect firms to firms to manage the impact.

CCTA’s thoughts on current claims management activity and the impact it is having on the industry

Published 05 September 2018

The recent news that payday loan company, Wonga, has sought a £10million bailout is an ominous reminder of the challenges currently facing the consumer credit industry as regulators, consumer groups, and claims management companies focus their attentions on high cost short term credit providers.

CCTA responds to the announcement Wonga has stopped taking loan applications

Published 30 August 2018

The following is the CCTA view on access to credit and the impact of aggressive regulation,  and over zealous and sometimes vexatious redress claims made by the Claims Management Companies. These and other factors are the cause of the ongoing operating problems being experienced by Wonga.

CCTA responds to FCA Creditworthiness Policy Statement

Published 01 August 2018

Exchanges between the regulator and SME lenders can sound like a stuck record at times, with lenders complaining the FCA is over-regulating and forcing them out of business. However, this time we’re very happy to applaud the FCA for recognising the need to keep the regulations proportionate.

CCTA comments on Treasury Select Committee’s Household Finances Report

Published 26 July 2018

Greg Stevens, Chief Executive of the CCTA, said: “We welcome the Treasury Select Committee’s recognition that credit plays an ‘essential’ role in many people’s lives, and has been critical in helping households weather the financial crisis and the aftermath.

The FOS review was only skin deep. It doesn’t tackle the concerns of SMEs

Published 18 July 2018

Richard Lloyd’s review of the FOS does not go far enough. There are crucial omissions that need to be addressed before trust in FOS can be rebuilt, argues Greg Stevens. This afternoon, the fearsome Treasury Select Committee will meet to discuss criticisms of the Financial Ombudsman Service (FOS).

CCTA commentary on the report of the independent review of the Financial Ombudsman Service

Published 12 July 2018

The findings of Richard Lloyd’s report are helpful as far they go, but a more comprehensive review is needed. The credit industry will recognise the shortcomings his report identifies, just as they recognised the criticisms revealed in the Dispatches Programme — primarily the lack of staff expertise and inconsistency in decision-making.

How far are the services of Post Office outlets providing a satisfactory experience for the bank branch customer?

Published 12 July 2018

In the past 25 years, the UK has seen the closure of nearly 10,000 bank branches – over half of all branches – as more and more customers gravitate towards online banking in a tech-savvy world of contactless cards and virtual cheque payments.

CCTA welcomes recognition from FCA of the positives of home credit

Published 14 June 2018

On 13th June the Treasury Select Committee heard from Andrew Bailey, Chief Executive, Financial Conduct Authority (FCA), as the Committee provided broad parliamentary scrutiny of the FCA’s work. As anticipated, the Committee discussed High Cost Short Term Credit, where Mr Bailey re-iterated the findings of the FCA’s recent HCC review.

FCA takes a cautious approach to consumer credit intervention

Published 31 May 2018

In the FCA’s report published today on the outcome of its high-cost credit review, the FCA is quite rightly taking a cautious approach, which is to be welcomed. The focus on overdrafts is welcome too: this is where the bulk of high cost borrowing takes place. Providing credit to low income consumers will always be an emotive topic.

Lenders who operate in the shadows

Published 16 May 2018

When the Treasury announced that £5.67 million of funding will be provided to Britain’s Illegal Money Lending Teams (IMLT) and bodies in Northern Ireland to tackle illegal lending, this was of course met with a welcome response, representing a 16% increase compared to the previous year.

Provident Financial is back ‘on the up’

Published 09 May 2018

It is excellent news that Provident Financial has turned the corner and normal service has been restored to satisfy their customers’ needs. This comes at the same time as RBS announces that it is shutting another 162 Branches across the UK on the wider assumption that consumers will go online.