Buy now, pay later: New consumer protections proposed by Financial Conduct Authority

Yorkshire Post

Buy now, pay later providers will have to check that people can afford to repay their loans and offer support if they get into financial difficulty under a consultation put forward by the Financial Conduct Authority (FCA).

Transcript

00:00Hello, I'm Greg Rice of the Yorkshire Post.

00:04Buy now, pay later providers will have to check that people can afford to repay their loans

00:09and offer support if they get into financial difficulty

00:13under a consultation put forward by the Financial Conduct Authority.

00:18Borrowers will also be able to complain to the Financial Ombudsman Service if something goes wrong.

00:24The rules, giving consumers more transparency of what this type of borrowing involves,

00:29would take effect when buy now, pay later comes under the FCA's remit next year.

00:35The new oversight by the FCA would mean that BNPL borrowers will have key protections

00:41that already exist for other types of lending.

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