CONC – Page 2 – Consumer Finance Law

1 November 20202 November 2020

FCA to announce further support for mortgage borrowers

On 31 October 2020, and following the Prime Minister’s announcement of a further month-long lockdown for England, the UK Financial Conduct Authority issued a press release saying it will announce further support for mortgage borrowers on 2 November 2020.

It seems likely that:

– If a mortgage borrower has not had deferral already because they are unable to make their repayments because of COVID-19, they will be entitled to ask for deferral of up to six months.

– If a mortgage borrower has already had a payment deferral because of COVID-19 of less than six months, they will be entitled to ask for another deferral so the maximum total deferral is six months.

– If a mortgage borrower has already had a payment deferral because of COVID-19 of six months, and are still unable to make their repayments because of COVID-19, they will need to contact their lender for ‘tailored support’.

The FCA is also considering the implications of this approach for the consumer credit industry.

UK Finance and the Building Societies Association have published a joint press release following the announcement.

2 October 2020

FCA adds the Institute of Financial Accountants to the list of bodies whose members can provide a statement of high net worth

On 1 October 2020, the Consumer Credit (High Net Worth Exemption) (Amendment) Instrument 2020 came into force. This amends CONC App 1.4.3R(2) by adding the Institute of Financial Accountants to the list of bodies whose members can provide a statement of high net worth under CONC App 1.4.

This change was confirmed in the Financial Conduct Authority’s Handbook Notice 80 and followed the FCA’s Quarterly Consultation in Consultation Paper 20/4.

11 September 202010 September 2020

Butterworths Financial Regulation Service – updated commentary on CONC, and new commentary on MCOB, published

Issue 112 of Butterworths Financial Regulation Service has now been published. I’ve written a new chapter on CONC 6, and reviewed and revised the existing chapters on CONC (including adding the latest COVID-19 guidance published by the Financial Conduct Authority).

I’m also delighted to have published brand new commentary on MCOB. There will be further new chapters over the coming issues but this issue has:

– an introductory chapter setting the scene on mortgage regulation;

– commentary on MCOB 1, 10, 10A, 12 and 13.

10 September 2020

Issue 63 of Goode: Consumer Credit Law and Practice published with new chapter on ancillary credit business and credit reporting

Issue 63 of Goode: Consumer Credit Law and Practice has now been published. This includes a new chapter 48, written by me, on ancillary credit business and credit reporting. It was rather humbling when Professor Sir Roy Goode QC invited me to join the editorial team a few years ago and it’s great to see my first chapter being published.

I’ve also written four new case reports: these appear in Goode: Consumer Credit Reports.

28 July 2020

FCA publishes policy statement banning motor finance discretionary commission models and making minor changes to commission disclosure rules

Earlier today, on 28 July 2020, the FCA published a policy statement, PS20/8, banning motor finance discretionary commission models and making minor changes to commission disclosure rules. The FCA also published a press release.

My one page summary is (and you can see a bigger version if you click on it):

If you want a pdf copy, please get in touch: russell.kelsall@TLTsolicitors.com.

15 July 2020

FCA publishes updated temporary guidance to motor finance and high cost credit firms dealing with customers needing COVID-19 related payment deferrals

Earlier today, on 15 July 2020, the UK Financial Conduct Authority published updated temporary guidance to motor finance and high-cost credit firms dealing with customers needing COVID-19 related payment deferrals.

There’s updated guidance for motor finance, for high-cost short-term credit and for rent-to-own, buy-now pay-later and pawnbroking agreements. There’s also a short feedback statement.

My one page summary is (and you can see a bigger version if you click on it):

If you want a pdf copy, please get in touch: russell.kelsall@TLTsolicitors.com.

6 July 20204 July 2020

Butterworths Financial Regulation Service – new and updated commentary on CONC published

Issue 111 of Butterworths Financial Regulation Service has now been published. I’ve reviewed and revised the introductory chapter on CONC and the chapters on CONC 1 to 4, 5A to 5D and 9. I’ve also written new material including:

– a new chapter on CONC 7 (including looking at the impact of the FCA’s COVID-19 related temporary measures); and

– a new chapter on CONC 11 (dealing with cancellation of certain agreements)

The commentary on Division 4H is now up to date to April 2020.

3 July 20203 July 2020

FCA consults on draft updated temporary guidance to motor finance and high cost credit firms dealing with customers needing COVID-19 related payment deferrals

Earlier today, on 3 July 2020, the UK Financial Conduct Authority issued a consultation on draft updated temporary guidance to motor finance and high-cost credit firms dealing with customers needing COVID-19 related payment deferrals.

There’s draft guidance for motor finance, for high-cost short-term credit and for rent-to-own, buy-now pay-later and pawnbroking agreements. There’s also a draft handbook instrument.

My one page summary is (and you can see a bigger version if you click on it):

If you want a pdf copy, please get in touch: russell.kelsall@TLTsolicitors.com.

1 July 2020

FCA publishes updated temporary guidance to credit card, overdraft and personal loan consumer credit firms dealing with customers needing COVID-19 related payment holidays

Earlier today, on 1 July 2020, the UK Financial Conduct Authority issued its finalised and updated temporary guidance to credit card, overdraft and personal loan consumer credit firms dealing with customers needing COVID-19 related payment holidays.

There’s finalised updated guidance for credit cards (including retail revolving credit), for overdrafts and for personal loans. There’s also a feedback statement and a press release on banks’ overdraft pricing decisions and plans to support consumers.

My one page summary is (and you can see a bigger version if you click on it):