The Financial Conduct Authority is to crack down on the high cost of overdrafts and review the booming car loan market in the latest attempt by regulators to tackle mounting consumer debt.
Andrew Bailey, chief executive of the financial regulator, said charges imposed on customers falling into unauthorised overdrafts would be overhauled. Research by the consumer group Which? has found that the cost of borrowing £100 through an unauthorised overdraft for 28 days from some high street banks is as high as £90. This is up to four times the maximum charges allowed on a payday loan.
In a paper published on Monday, the FCA that one in six people with debt on credit cards, personal lending and car loans 2.2 million were in financial dist…
Read the full article at: https://www.theguardian.com/business/2017/jul/31/fca-unauthorised-overdrafts-car-loan-market