FCA proposes new ‘Consumer Duty’ rules for Firms

The Financial Conduct Authority is introducing greater protections for retail clients by introducing a new consumer duty principle, aimed for firms providing and advising on products and services. In turn, this will increase the responsibility of firms to ensure consumers are provided with the products and services that are best fit for purpose and represent fair value. Firms are…

Proposed Changes to Responsible Lending Laws in Australia – A Shift of Responsibility From Lender to Borrower

Proposed changes to responsible lending regulations hit the Australian federal Senate the week before last. Since the 2008 – 2009 Global Financial Crisis, Financial regulation and responsible lending laws have been largely combative, with inflamed tensions between bankers and lawyers. The reforms were first announced in September 2020, in the hopes of boosting Australia’s credit…

The Future of Buy Now Pay Later’s: Sustainable Spending?

Our previous post on Buy Now Pay Later’s (BNPL’s) focussed on the possible transparency issues that can arise when utilising them, particularly regarding the silent accumulation of debt that has become increasingly concerning. The use of BNPL’s can further fuel a culture in which ‘fast fashion’ and excess consumption are viewed as both advantageous and…

The Kalifa Review

An independent strategic review of UK financial technology (FinTech) has been published in line with the emerging prominence of this sector and the UK’s highly regarded fintech reputation. Also known as ‘The Kalifa Review’, its purpose is to aid the adoption and growth of Fintech in the UK. The review illustrates a strategy and delivery…

The FCA on ‘Buy Now Pay Later’ providers

Buy now Pay later (‘BNPL’) providers like Klarna and Clearpay allow customers to purchase goods in a series of instalments, without the fear of crippling interest rates or a late payment fee. Yet, the appeal of such an offer can often mask the reality that it is in fact, a form of credit. An unintended…

Regulatory Predictions for 2021

For much of 2020 the focus for lending regulators has been the coronavirus pandemic and assisting borrowers through the crisis. As we move into the new year that focus is set to continue however there is likely to be the chance for new developments that have been put on hold thanks to the restrictions. The…