March 25th saw the publication of the Financial Conduct Authority’s (FCA) key findings in relation to Coronavirus related forbearance.
With the Office of National Statistics (ONS) reporting that unemployment reached its highest levels in 5 years, and with forecasts suggesting we might reach the highest levels in almost a decade, the treatment of financial services customers is under the greatest spotlight since the Global Financial Crisis (GFC) of 2007 – 2008.
The FCA’s findings on household finances, informed by their Financial Lives Survey are eye opening.
The report highlights the importance of lenders implementing the 2020 Tailored Support Guidance (TSG). It lists the impact that TSG implementation has had on customers:
The report emphasises the importance of implementing the TSG. There are a number of nudges for firms yet to implement the TSG and a warning that, where they identify concerns over a firm’s approach, the supervisory response will be robust. They have helpfully signposted their priority areas for continued review to ensure that:
As the regulatory focus continues in these areas, FourthLine is supporting customers with advice, recruitment and resourcing support.
For further insight on customer vulnerability and how we can support your programme, you can download our insight deck HERE.