Debt Management

A lender must not reactivate a credit account for a consumer known to have a gambling addiction and financial difficulties without conducting proper affordability assessments and considering vulnerability.

A firm must show forbearance and support to consumers experiencing financial difficulties, but offering payment plans, payment holidays, and a hold period prior to debt sale constitutes reasonable conduct.

A lender must carry out a reasonable and proportionate affordability assessment that is borrower-focused, considering whether repayments would cause financial difficulty for the consumer.

Lenders must conduct reasonable and proportionate affordability checks before extending credit, but checks need not identify every possible risk factor if the credit limit is modest relative to declared income and no active adverse indicato

Lenders must complete reasonable and proportionate affordability checks before lending, assessed based on information available at the point of application rather than with hindsight.

Lenders must carry out reasonable and proportionate affordability checks before lending, based on borrower-specific circumstances and the amount of credit being provided.

Lenders must carry out a reasonable and proportionate affordability assessment that is borrower-focused, considering whether repayment would be sustainable without causing adverse consequences.

A creditor must carry out proportionate affordability checks before entering into a credit agreement; if checks would have revealed unaffordability, the lending relationship may be unfair under section 140A of the Consumer Credit Act 1974.

A lender acts fairly in providing credit if it conducts reasonable and proportionate affordability checks that verify income, assess living expenses with appropriate buffers, and confirm sustainable repayment capacity.

Lenders must carry out proportionate affordability checks appropriate to the level of credit being offered, with extended checks not necessarily required merely because a borrower has previous defaults if sufficient time has passed and inco

Lenders must carry out proportionate affordability checks at application, but without evidence of what reasonable checks would have revealed, the burden rests on the consumer to demonstrate unfairness.

A lender must carry out reasonable and proportionate affordability checks before providing credit, which may include reliance on credit reference agency data and statistical information rather than requiring full evidence of expenditure in

A creditor-debtor relationship is unfair under section 140A of the Consumer Credit Act 1974 only where the relationship is demonstrably unfair to the debtor, assessed by reference to the creditor's conduct, information provided, commission

A lender's initial lending decision is fair if based on reasonable and proportionate checks, and subsequent support obligations during persistent debt are met through appropriate notifications and suggested remedies.

A credit union must carry out reasonable affordability and creditworthiness checks before lending, but automated checks using income verification, credit reports, and ONS spending estimates are sufficient if they indicate sustainable repaym

A lender must conduct proportionate affordability checks appropriate to the credit amount and circumstances before providing credit.

A bank may refuse to issue a new card where it has reasonable grounds to believe the consumer may have difficulty repaying amounts owed, even if an advisor previously suggested otherwise.

A lender must carry out reasonable and proportionate affordability checks before providing credit, assessing both the likelihood of sustainable repayment and the impact on the borrower's circumstances.

A lender may register a default in accordance with ICO guidance when a consumer is at least three months behind with payments, provided it has offered appropriate forbearance and clear notice.

A default may be fairly reported when a consumer is 3+ months in arrears, or when an agreed arrangement is broken by non-payment.

Lenders must conduct proportionate affordability checks taking into account the loan amount, repayments, cost of credit, purpose, and consumer's circumstances, not a prescriptive set of checks.