Month: January 2021

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Pay.UK publishes report on impact of COVID-19 on current account switching behaviours

On 6 January 2021, Pay.UK published a report on how COVID-19 has affected current account switching attitudes and behaviours for in the United Kingdom.

The report says:

– current account switching in 2020 was 30% lower than previous years;

– consumer attitudes towards current account switching and the Current Account Switch Service “remain positive and largely unchanged“;

– the availability of switching rewards and differentiation in prices fell whilst consumer vulnerability increased “significantly“;

– attitudinal factors have “seen less change“;

– gig economy works have been disproportionately impacted by COVID-19;

– young people (ie aged 18 to 34) have also been disproportionately impacted relative to older age groups;

– priorities have changed for small and medium enterprises (for example, they place less importance on branch access); and

– identifying and targeting support, interventions and remedies at the most affected groups is “a sensible strategy“.

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UK Finance publishes Brexit FAQ for customers who have unsecured loans, credit cards or current accounts

On 31 December 2020, UK Finance published an FAQ on Brexit for customers who have unsecured loans, credit cards or current accounts. You can view the press release by clicking here.

The FAQ provides a number of answers to common Brexit questions raised by customers. These include:

– if Brexit will impact a customer’s ability to open a current account or get credit under an unsecured loan or a credit card;

– if money in a savings or current account will continue to be protected by the Financial Services Compensation Scheme;

– if customers can still use their debit or credit cards in the EU; and

– if payments could still fall under the chargeback rules or (if applicable) Section 75 of the Consumer Credit Act 1974.