The FCA has published Policy Statement 15/23.  This reports on the main issues that arose from its Consultation Paper ‘CP15/6 Consumer Credit – proposed changes to rules and guidance’ and also outlines the final rules and guidance.

The changes proposed in CP15/6 focused on credit broking, lending (including guarantor lending), financial promotions and debt. Following feedback on the publication, the FCA intends to introduce the majority of changes which it consulted on.

However, the FCA has amended some of the proposals, and deferred some issues for further consideration. In particular, the FCA intends to amend the scope of the proposals on guarantor lending, and allow for pre-contract explanations to be provided as part of independent legal advice, subject to appropriate safeguards. It has also modified aspects of its proposals on financial promotions.

The majority of the changes proposed in CP15/6, come into force on 2 November 2015, though some came into force on 28 September 2015.