Which? response to the FCA’s high cost credit review

Gareth Shaw Which? Money Expert, said:

“Just last week we revealed that unarranged overdraft charges can still be more than seven times more expensive than a payday loan – it’s wrong that the regulator continues to delay taking action, leaving consumers affected by this unfair practice trapped in debt.

“Last summer, the FCA expressed serious concerns about how unarranged overdrafts work, and now almost a year later it is still refusing to take action. As the FCA continues to drag its heels, the Government must urgently intervene to ensure unarranged overdraft charges are brought into line with arranged overdrafts, to finally help all those struggling from these rip-off fees.”