FCA RULES 2015

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FCA RULES 2015

• A Simple Overview of FCA Rules

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The FCA

• Look over control of High Cost Short Term Credit
  on 1st April 2014
• Introduced new rules during 2014
• Introduced rate capping on 2nd January 2015

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Rate Capping

• The Rules
• Daily Interest Capped at 0.8
• The maximum charge for defaulting is 15
• Interest and charges cannot exceed the amount
  borrowed

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What that means

• Daily Interest Capped at 0.8
• So if you borrow 100 the maximum you will be
  charged per day is 80p per day.
• So if you only had the loan for a week (7 days)
  the maximum you will pay is
• 80p x 7 5.60

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What this means

• The maximum charge for defaulting is 15
• If you do not repay your loan on time, a lender
  can charge you 15, only once.
• So if you are late with another payment they
  cannot charge you the 15 again.

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What this means

• Interest and charges cannot exceed the amount
  borrowed
• If you borrow, say, 100 over a 12 month period,
  the most you will have to pay back, including the
  original loan is 200.

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Who are We

• This information was brought to you by BFWG
  Grants
• www.bfwggrants.org.uk

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Visit This Link
www.bfwggrants.org.uk