Commenting on Which?’s call for the FCA to crackdown on poor lending and unscrupulous practices across the whole of the consumer credit market, Russell Hamblin-Boone, Chief Executive of the Consumer Finance Association, which represents the major short-term lenders operating in the UK, said:
“CFA members are responsible payday lenders who are committed to transparent communication with no hidden charges, so we fully support Which?’s call for all consumer credit providers to step up to the mark. People want and need clear, jargon-free information to help them make better financial decisions. Indeed, our own research* shows that three quarters (72.1%) of people would prefer to compare financial products in pounds and pence and often have no idea how much it costs them to borrow money because charges are hidden or disguised by confusing APRs. So it is right to level the playing field.
“We remain resolutely committed to protecting consumers by regularly reviewing our standards, working closely with the regulator and driving out irresponsible lending practices in our industry.”