The FCA has revealed the next package of measures forming part of its high-cost credit review, including proposals to change how banks charge for overdrafts with a view to ending higher prices for unarranged overdrafts.
Alongside this, the regulator has published the results of its review into the retail banking market , made new rules strengthening the protections for consumers using home-collected credit (doorstep lending), catalogue credit and store cards and is consulting on further measures on ‘buy now pay later' offers. In 2017, according to the Financial Conduct Authority (FCA), firms made more than £2.4bn from overdrafts alone, with around 30% from unarranged overdrafts. "More than 50% of banks' unarranged overdraft fees came from just 1.5% of customers in 2016," it added. "People living in depr...
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