UK Finance responds to FCA announcement on further support for consumer credit customers

  • UK Finance members have offered over 27 million interest-free overdrafts, provided 992,400 payment deferrals on credit cards and 686,500 payment deferrals on personal loans1.
  • Lenders are committed to providing ongoing support to those customers that need it.
  • The Financial Conduct Authority's (FCA) guidance outlines next steps for customers who are impacted by Covid-19 and are coming to the end of their credit support arrangement. Customers yet to request a payment freeze or an arranged interest-free overdraft of up to £500, will have until 31 October 2020 to apply for one. 

Responding to the Financial Conduct Authority's (FCA) updated guidance for consumer credit customers affected by the coronavirus, Eric Leenders, UK Finance Managing Director of Personal Finance, said: 

Lenders are committed to supporting customers through these tough times and the updated guidance from the FCA gives clarity on the next steps for those who continue to face financial difficulty during the ongoing pandemic.  

?For customers who are able to do so, it will be in their best interests to resume payments, but for anyone who is struggling then lenders stand ready to help either through the provision of further payment deferrals, if appropriate, or other support options. Customers who have not applied to their lender for support still have the opportunity to do so until the end of October. For customers with longer-term financial difficulties, lenders are offering continued help and flexibility to suit their needs. 

?The banking and finance industry has a clear plan to help the country through this unprecedented period and is committed to providing ongoing support to those customers who need it.

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