New personal loan rules praised

With new rules governing the provision of financial advice coming into force today, a consumer organization is praising the changes.

The Financial Services Authority's new regulations mean that providers will now be required to make it easier for consumers to compare different companies' services.

They also guarantee consumers clear and up-front information about their credit and loan agreements.

The deputy director of policy at the National Consumer Council, Claire Whyley commented: "Lenders must now make sure they don't pull the wool over people's eyes from start to finish of a credit deal."

She feels the new rules have come at just the right time: "With debt now affecting a wider spectrum of people - including the better off - and personal bankruptcy figures on the increase, these new obligations on lenders are extremely welcome."

However, the NCC, which looks to help consumers and ensure they get a fair deal, feels the government must take more decisive action.

Ms Whyley added: "Important further reforms to our outdated credit laws - a consumer friendly credit complaints system, for instance - now depend on the Consumer Credit Bill making its way undiluted onto the statute book.

"We urge MPs and peers to give the bill an easy ride."

Source : ukloannews.co.uk