Millions of vulnerable customers at risk of abuse from financial services firms – be aware

Millions of vulnerable customers at risk of abuse from financial services firms – be aware

New research from Consumer Intelligence revealed that the number of British people who identify as vulnerable customers has reached 13 million. This is double what the figure was in March 2019.

This is especially pertinent at the moment as coronavirus has forced people to worry, both for their health and financial well-being

Because of this, the FCA introduced several changes to financial rules, aiming to support worried customers during this troubling period.

On top of the government’s support packages, the FCA provided similar payment freezes for:

  • Personal loans and credit cards
  • Overdrafts
  • Motor finance
  • Other forms of credit such as payday loans.

These changes were announced throughout April and Christopher Woolard, the FCA’s interim Chief Executive, provided the following comments as the new measures were rolled out: “’We know many people are suffering financial pressures brought on as a result of the coronavirus pandemic.

“The measures we’ve announced are designed to provide people affected with short-term financial support through what could be a very difficult time.

“The changes will provide support for consumers with credit cards, loans and overdrafts, facing temporary financial difficulties because of the pandemic.

“’Customers should think carefully before making use of these measures and only do so if they need immediate help. Where they can still afford to make payments, they should continue to do so.”

Published at Wed, 06 May 2020 23:01:00 +0000