REGULATORY Law Commission consultation on bills of sale
The Law Commission has published a consultation paper on reform of the law relating to bills of sale. An example of bills of sale are logbook loans where a borrower (an individual or unincorporated business) passes the vehicle registration document for their vehicle to the lender while still using the vehicle. Other uses of bills of sale include: mortgages over furniture and fittings and general assignments of book debts. The Commission considers that existing law places unnecessary costs (though their complexity) on businesses and that consumers are not adequately protected although there is a CCTA Code of Practice which applies to logbook loans. The Law Commission is recommending that the relevant Acts be repealed and replaced with a new security interest (where individuals can continue to use their goods) known as a "goods mortgage." The Commission seeks feedback by 9 December 2015. The Law Commission, 9 September 2015
FCA publishes consumer credit authorisation guides
The Financial Conduct Authority has released a number of guides to assist consumer credit firms applying for authorisation:
- An overview of the application process;
- Firm details required;
- Permission types and fees;
- Consumer credit supplement;
- Disclosure of significant events;
- Systems and controls
- Compliance and financial crime procedures;
- Personnel information;
- Owners and influencers;
- Supporting documents;
- Firm declaration .
There are also a step-by-step video guides relating to the authorisation applications.
FCA, 10 September 2015
SRA proposals to regulate solicitors' consumer credit activities adopted
The Solicitors Regulation Authority has adopted proposals under which it will regulate consumer credit activities carried out by SRA-authorised individuals and firms.
SRA, 10 September 2015
New figures find asset finance grows in July 2015
Figures released by the Finance & Leasing Association have found that new asset finance business grew by 2% in July 2015. Consumer finance also grew 8% compared with the same month last year and the number of new cars bought by consumers on finance provided through dealerships increased by 13%.
Finance & Leasing Association, 11 September 2015
Bank of England mortgage lending statistics
The Bank of England has published Mortgage Lenders and Administrators statistics for Q2 2015 looking at the data of around 300 regulated mortgage lenders and administrators and their activities. The British Bankers Association has commented on the statistics saying that the property market is "hotting up" as consumers look to snap up ultra-competitive deals.
Bank of England & British Bankers Association, 8 September 2015
Council of the EU issues corrigendum to MCD
The Council of the EU has published a corrigendum to the text of the Mortgage Credit Directive (MCD). The corrigendum makes minor amendments to recital 26 and Annex II of the version of the MCD published in the OJ. It concerns passages relating to internationally recognised valuation standards and warnings to be given over interest rates.
Council of the EU, 8 September 2015
UK Asset Resolution - Court of Appeal outcome in relation to the Consumer Credit Act: Written statement - HCWS180
A written statement reporting on the outcome of NRAM Plc v McAdam  EWCA Civ 751 has been given to Parliament by HM Treasury. The Boards of UK Asset Resolution (UKAR) had estimated the cost of remediation of affected customers to be £279 million. A provision for this amount was included in the Treasury Group accounts and this provision has now been removed.
UK Parliament, 10 September 2015