Credit: Interest Rates

(asked on 29th January 2019) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether he has made representations to the Financial Conduct Authority on investigating whether payday loan companies are applying affordability checks to applicants.


Answered by
John Glen Portrait
John Glen
Paymaster General and Minister for the Cabinet Office
This question was answered on 4th February 2019

The Regulation of consumer credit is a matter for the Financial Conduct Authority (FCA). The government has given the FCA strong powers to protect consumers and to take action against firms and individuals that do not meet its standards.

FCA rules are based on the principle that money should only be lent to a consumer if they can afford to repay it. The rules set out what is expected of firms, and the sanctions if they lend irresponsibly.

Treasury ministers and officials meet regularly with the FCA, and the government will continue to work closely with the FCA to ensure all customers are treated fairly.

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