The management of consumer credit moves from the Office of Fair Trading (OFT) to the Financial Conduct Authority (FCA) on 1st April 2014

January 8, 2014

On 1 April 2014 the FCA takes over from the Office of Fair Trading (OFT) to become the regulator for the consumer credit industry – this includes hire purchase, credit card issuers, payday loan companies, pawnbrokers, debt management and collection firms and providers of debt advice.


The FCA already have a Handbook of rules and guidance that other financial services firms have to follow and comply with, and they are now preparing to bring consumer credit firms into that same regulatory system. The FCA are currently consulting on exactly how to do this and how it will affect firms and consumers.

For example, some consumers who take out a payday loan often have problems paying it back. This worries the FCA because these loans are often used by people in financial difficulty. The FCA are proposing to apply tighter rules than before to make sure payday lenders treat their customers fairly.


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