As part of our review of high-cost credit products, we have published our feedback to CP18/12 and final rules and guidance in relation to home-collected credit, catalogue credit and store cards.
As part of our work to foster alternatives to high-cost credit, we have also published finalised guidance for registered social landlords to provide greater clarity about the activities for which they are likely to require authorisation as credit brokers.
We are also consulting in this paper on extending some of our store card and catalogue credit remedies to point of sale retail finance firms providing Buy Now Pay Later (BNPL) offers as well as new remedies to make such offers more transparent and ensure that consumers do not pay backdated interest on sums repaid within the offer period.
Taken together, we expect these measures to lead to improved sales practices, fewer hidden costs to consumers, protection against harmful repeat borrowing and more control for consumers over whether they want to discuss new or additional borrowing.
It will also be of interest to trade bodies representing consumer credit lenders, consumers and consumer representative organisations.
Please send us your comments by 18 March 2019.
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Firms will need to comply with our final rules and guidance by 19 December 2018 or after implementation periods of three or six months depending on the specific measure. Further details are set out in our paper.
Stakeholders interested in our proposals for BNPL offers must respond to our consultation by 18 March 2019 by answering the questions listed at Annex 1 via our online response form or by emailing [email protected].
We intend to publish final rules on BNPL offers in June 2019.