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…
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 Financial Conduct Authority (FCA) have issued a stark warning to high-cost lenders in regards to their re-lending practices. They have raised ‘significant concerns’ over the marketing practices used by high-cost lenders which they believe drive vulnerable borrowers into further debt. The warning comes after a review of 250,000 customers of the short-term, high-cost credit…
Business Banking startup Tide is facing a backlash from its customers after the firm suspended its bounce back loans offering. After the government-backed support loans were launched in May, Tide had thousands of companies sign up to their waiting list. Now however, the firm has suspended loaning after running out of money; leaving thousands of…