Having adequate, effective and compliant policies, procedures and training workshops on what makes a customer vulnerable, how to identify them and how to communicate effectively is not only a mandatory FCA requirement, but also an essential business practice. It is even more important in times of national crisis, such as the current pandemic, to ensure […]
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The Financial Conduct Authority (FCA) have always had a robust approach to the way vulnerable customers are managed by regulated firms. However, following on from reviews and the Covid-19 crisis, the FCA have said “we want to drive improvements in the way firms treat vulnerable consumers and bring about a practical shift in firms’ actions and behaviour.”
Who Are Vulnerable Customers? The FCA define a Vulnerable Customer as: – “Someone who, due to their personal circumstances, is especially susceptible to harm, particularly when a firm is not acting with appropriate levels of care.” In their Approach to Consumers guidance paper, the FCA notes four factors that can act as drivers to actual […]
Do you have a compliant Vulnerable Customers Policy Template? The FCA have recently published updated guidance for regulated firms on how to deal with vulnerable customers and gain good outcomes. Publication FG21 provides extensive support and guidane for firms on meeting their vulnerable customer obligations. You can read the full publication on the FCA Website. […]
On Tuesday, the FCA’s Executive Director of Supervision (Retail and Authorisations) Jonathan Davidson, delivered a speech at the Credit Festival, focusing on the challenges during the pandemic for consumer credit firms to take decisive and effective action when it comes to the fair treatment of customers. With the consumer credit industry including approx. 40,000 firms […]