Regulatory AlertsOverdrafts and coronavirus: updated temporary guidance for firms
The Financial Conduct Authority issued updated temporary guidance requiring firms providing primary personal current accounts with overdraft facilities to offer interest-free borrowing on the first £500 and support for excess costs to customers facing coronavirus-related financial difficulties. This support is available until 31 October 2020, with eligible customers entitled to an initial three-month period of assistance and a further three-month extension upon request. Firms must also provide information on debt advice, maintain forbearance strategies for repeat overdraft users, and ensure creditworthiness assessments account for the exceptional economic circumstances.
Share