FOS calls for better approach to debt management

Abby Thomas, chief Ombudsman at the FOS, says the FOS is seeing increasing complaints about unaffordable lending. She said many customers are finding it hard to communicate with businesses when they are becoming over-burdened by debt and that businesses need to do more to help customers in difficulty. She noted that the FOS is seeing too many examples of customer experience falling short of what it should be.

She called for firms to take a tailored approach to understanding why problems have arisen, and criticised the fact that people do not always have the chance to engage with businesses before the debt collection process begins.

Nikhil Rathi, speaking at the same conference, looked at the work the FCA is doing to support consumers and encourage financial inclusion. He focused on how the financial sector can help put in place measures that harness technological advances but also help the digitally excluded.