Featured Product

    FCA Proposes Updates to Guidance on Mortgage Repossessions

    March 05, 2021

    FCA updated the draft guidance for firms to ensure that mortgage customers whose homes may be repossessed are treated fairly and appropriately, particularly where there are risks of harm to customers who are vulnerable as a result of the COVID-19 pandemic. FCA is proposing that, from April 01, 2021, subject to any relevant government restrictions on repossessions, firms may enforce repossession as long as they act in accordance with the guidance and the relevant regulatory and legislative requirements. The guidance highlights that repossession should be a last resort once all reasonable attempts to resolve the situation have failed. The comment period for the tailored guidance on mortgage repossessions ends on March 10, 2021.

    FCA reminded consumer credit and mortgage consumers that the deadline for applications for new payment deferrals under the payment deferral guidance is March 31, 2021. Only consumers still in a payment deferral on March 31, 2021 will be able to extend their payment deferral beyond that date. All deferrals under that guidance will end by July 31, 2021 at the latest. However, consumers should think carefully about whether they need to take a payment deferral. Support will continue to be available to consumers in financial difficulty under the tailored support guidance, which may be more suitable for their needs in the long-term. Additionally, from April 01, 2021, consumers who are newly impacted by COVID-19 pandemic, or find themselves impacted again (whether or not they have previously had a payment deferral), should receive tailored support from the lender. This could include short-term support such as a payment deferral, if appropriate, although this would be subject to normal credit reporting. The payment deferral guidance enabled firms to deal with unprecedented demand for short-term support resulting from the pandemic. However, demand for payment deferrals has reduced and firms now have the capacity to offer both shorter- and longer-term support.

     

    Related Links

    Comment Due Date: March 10, 2021

    Keywords: Europe, UK, Banking, COVID-19, Consumer Credit, Credit Risk, Residential Mortgage, Payment Deferrals, FCA

    Related Articles
    News

    EBA Issues Erratum for Phase 2 Package of Reporting Framework 3.0

    EBA published an erratum for the technical package on phase 2 of the reporting framework 3.0.

    April 08, 2021 WebPage Regulatory News
    News

    EBA Updates Lists of Entities for Use in Capital Calculations under SA

    EBA published an erratum for the technical package on phase 2 of the reporting framework 3.0.

    April 08, 2021 WebPage Regulatory News
    News

    MAS Amends Notice on Related Party Transactions of Banks

    MAS amended Notice 643A that addresses requirements for banks to prepare statements of exposures and credit facilities to related concerns or parties.

    April 08, 2021 WebPage Regulatory News
    News

    ECB Amends Guideline on Euro Short-Term Rate

    ECB has published, in the Official Journal of the European Union, the Guideline 2021/565 on the euro short-term rate (€STR) and this guideline amends the previous ECB Guideline 2019/1265.

    April 07, 2021 WebPage Regulatory News
    News

    EBA Consults on Standards Related to FRTB-SA

    EBA launched a consultation on the draft regulatory technical standards on the list of countries with an advanced economy for calculating the equity risk under the alternative standardized approach (FRTB-SA).

    April 07, 2021 WebPage Regulatory News
    News

    PRA Proposes Rules Related to IRB Approach for Credit Risk

    PRA is proposing, via CP7/21, the approach to implementing new requirements related to the specification of the nature, severity, and duration of an economic downturn in the internal ratings-based (IRB) approach to credit risk.

    April 07, 2021 WebPage Regulatory News
    News

    BoE Outlines Regulatory Treatment of Recovery Loan Scheme of UK

    The UK government launched the Recovery Loan Scheme (RLS) as part of its continued COVID-19 support for UK businesses, as announced by HM Treasury on March 03, 2021.

    April 06, 2021 WebPage Regulatory News
    News

    FSB Addresses G20 on COVID Measures, TBTF Reforms, and Climate Risks

    FSB published a letter, from its Chair Randal K. Quarles, to the G20 Finance Ministers and Central Bank Governors, ahead of their virtual meeting on April 07, 2021.

    April 06, 2021 WebPage Regulatory News
    News

    OSFI Unwinds Temporary Increase to Covered Bond Limit for Banks

    OSFI issued a letter to the deposit-taking institutions issuing covered bonds and announced the unwinding of the temporary increase to the covered bond limit for deposit-taking institutions, effective immediately.

    April 06, 2021 WebPage Regulatory News
    News

    EU Amends CRR and Securitization Regulation in Response to Pandemic

    To support recovery from the COVID-19 crisis, EU has published two regulations to amend the securitization framework, as set out in the Securitization Regulation (2017/2402) and the Capital Requirements Regulation or CRR (575/2013).

    April 06, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 6826