March 8, 2021
Authored by: Daniel Csefalvay, Stanton Koppel and Samantha Goldberg-Seder
On 2 February 2021, the FCA published its Review of the Unsecured Credit Market in the UK. The full title of the review is “The Woolard Review – A review of change and innovation in the unsecured credit market” (“the Review“). Critically, the Review recommended that all Buy Now Pay Later (“BNPL“) credit arrangements should be brought within the scope of the UK’s regulatory regime for consumer credit “as a matter of urgency”. Key amongst the various motivating factors for this recommendation is the idea that proper affordability assessments should be carried out on those being offered these credit products so as to prevent, or at least mitigate, potential consumer detriment.
Click here to read the Alert in full.