Competition Commission completes home credit inquiry
The UK Competition Commission (CC) today published its final report in its two-year market investigation of home credit. The CC is planning to introduce measures to increase competition in home credit, including requiring home credit companies to share customer payment records. The CC concluded that, despite its higher cost, home credit is valued by many customers and the CC would not want to reduce the availability of home credit.
Home credit refers to the supply of small loans, repayments for which are then collected in instalments (often weekly or fortnightly) from a customer's home. The inquiry was referred by the Office of Fair Trading (OFT) in December 2004 following a "supercomplaint" from the National Consumer Council. The CC was required to publish its final report by December 2006.
Frontier (London) advised Provident Financial, the largest supplier of home credit in the UK.
Druckansicht