Irresponsible Lending

A lender must not provide credit where the borrower is likely to be unable to sustainably repay the debt, particularly where repayment would rely on ongoing use of an overdraft facility contrary to regulatory guidance.

A lender must carry out sufficient affordability checks and not rely on unverified information when there are grounds to doubt its accuracy, particularly in cases of debt consolidation indicating existing financial pressure.

A lender must carry out proportionate checks to understand whether lending is sustainable and must not lend irresponsibly, particularly where a borrower's existing debt obligations are already high relative to income.

Lenders must carry out reasonable and proportionate affordability checks before providing credit and credit limit increases, considering whether the consumer can sustainably repay within a reasonable period.

A lender must carry out proportionate affordability checks and should consider relevant information it already knows about an existing customer, including evidence of vulnerability such as excessive gambling using borrowed funds.

A lender must not irresponsibly lend by increasing credit limits without ensuring the borrower can sustainably repay the additional credit, taking into account their overall indebtedness and existing credit commitments.

Lenders must carry out reasonable and proportionate affordability checks before lending to ensure the borrowing will be sustainable and affordable for the borrower.

Lenders must carry out reasonable and proportionate affordability checks before lending, not relying solely on a consumer's declared income without verification.

Lenders must carry out reasonable and proportionate affordability checks before lending to ensure consumers can repay in a sustainable way without further borrowing.

Lenders must conduct proportionate creditworthiness assessments before significantly increasing credit limits, with more rigorous checks required when cumulative increases result in a material overall increase.

A lender must conduct proportionate affordability assessments before approving loans, with greater scrutiny required as lending patterns reveal unsustainability.

Lenders must carry out reasonable and proportionate affordability checks to ensure borrowers can repay credit sustainably without further borrowing.

A bank must identify signs of financial vulnerability and compulsive spending patterns through account monitoring and take appropriate action rather than merely continue extending credit.

A lender must conduct reasonable and proportionate affordability checks before lending and must not lend where it suspects untruthfulness or where affordability assessment would show the loan is likely unaffordable or unsuitable for the app

A lender must complete reasonable and proportionate affordability checks before agreeing credit, ensuring the borrower can meet repayments sustainably without financial difficulty, taking account of their indebtedness and credit history.

A lender must complete reasonable and proportionate affordability checks and must not lend where the applicant would be unable to make repayments without experiencing significant adverse impacts, particularly where bank statements reveal si

A lender must complete reasonable and proportionate affordability checks before agreeing credit to ensure repayments are sustainable without causing financial difficulty.

Lenders must conduct proportionate affordability checks to ensure consumers can repay loans sustainably, considering income, expenditure, and wider financial circumstances including existing debt management arrangements.

Lenders must carry out proportionate checks to ensure borrowers can repay loans sustainably, meaning without undue difficulties and without needing to borrow further or fall behind on other commitments.

A lender must conduct reasonable and proportionate affordability checks to ensure a borrower can repay without difficulty, meeting existing obligations and without significant adverse financial impact.

A lender must carry out proportionate affordability checks before lending to ensure the borrower can repay in a sustainable manner.

Lenders must conduct sufficient and appropriate affordability checks before approving credit, and cannot apply blanket reductions to housing costs without evidence that the borrower's share of the obligation is reduced.

Lenders must make proportionate affordability checks before approving credit or increasing credit limits, considering the borrower's income, existing debt levels, and ability to repay sustainably.

Lenders must conduct proportionate affordability and creditworthiness checks before providing credit, taking into account the borrower's full financial circumstances.

Lenders must carry out reasonable and proportionate affordability checks before lending, even for staff loans, by obtaining up-to-date credit information and assessing the borrower's expenditure.

A lender must carry out proportionate affordability checks before providing credit to ensure the lending is sustainable for the borrower.

Lenders must conduct proportionate affordability checks and reasonably engage with the information obtained, particularly regarding existing credit commitments, before providing credit.

A lender must conduct reasonable and proportionate creditworthiness assessments based on sufficient information, including reasonable estimates of income and non-discretionary spending, and cannot rely solely on statistical data when actual

Lenders must conduct reasonable and proportionate affordability checks that take into account the consumer's existing debt levels, income verification, and patterns of recent borrowing.

A lender must carry out proportionate affordability checks and cannot lend if the customer appears dependent on credit to the extent that further lending could be financially harmful.

Lenders must carry out proportionate affordability checks before lending, and where initial checks reveal concerns (such as outgoings exceeding income), further verification of shared financial commitments is necessary rather than relying s

Lenders must conduct adequate affordability checks proportionate to the loan size, including verification of income and expenses, when a borrower shows signs of increasing debt levels.

Lenders must complete reasonable and proportionate affordability checks before lending, with particular scrutiny required when a borrower has high existing unsecured debt relative to income.

A lender must conduct reasonable and proportionate affordability checks before providing credit, particularly when the applicant has recent credit problems and is in a debt arrangement.

Lenders must conduct checks that are reasonable and proportionate to assess whether credit can be sustainably repaid, particularly when a borrower's debt has significantly increased.

A lender must complete proportionate affordability checks before agreeing credit to ensure the borrower can sustainably repay the lending.

A lender must complete proportionate checks to determine affordability and sustainability of repayment, and must not lend when account activity reveals evidence of problem gambling.

A lender must carry out proportionate affordability checks before lending, with greater scrutiny required as a lending relationship progresses and debt consolidation patterns emerge.

Lenders must conduct proportionate affordability checks before increasing credit limits, assessing whether borrowers can repay sustainably and not merely based on minimum monthly payments.

Lenders must conduct proportionate affordability checks to ensure borrowers can meet repayments without adverse consequences and must properly consider the outcome of those checks.

A lender must carry out proportionate checks to ensure a borrower can repay a loan sustainably, not just afford the payments on a strict numerical basis.

A lender must conduct reasonable and proportionate affordability checks to ensure the consumer can make repayments sustainably without experiencing financial difficulty.

Lenders must carry out proportionate affordability assessments to ensure borrowers can repay loans sustainably, considering their wider financial circumstances and not just the likelihood of repayment.

Lenders must carry out proportionate, borrower-focused affordability assessments to ensure loans can be repaid sustainably, taking into account the customer's financial circumstances and not relying solely on self-reported information.

A lender must establish whether a borrower can sustainably repay a loan without undue difficulty, not merely whether repayments are technically affordable on a strict pounds and pence calculation.

Lenders must carry out reasonable and proportionate affordability assessments that are borrower-focused to determine whether credit can be repaid in a sustainable way.

A lender must not only complete proportionate affordability checks but must also carefully consider the information obtained to make a fair lending decision, ensuring repayments can be made sustainably without financial hardship.

A lender must establish that a borrower can sustainably meet loan repayments without undue difficulty or increasing problem indebtedness, not merely that payments are technically affordable.

A lender must complete reasonable and proportionate affordability checks to ensure borrowers can meet repayments sustainably without experiencing financial difficulty or other adverse consequences.

A lender must carry out reasonable and proportionate affordability checks before approving credit, assessing the borrower's ability to repay sustainably.

Lenders must conduct reasonable and proportionate affordability checks before providing credit, taking into account verified income and all essential expenditure including housing costs.

Lenders must conduct proportionate affordability checks before approving credit, considering the borrower's income, existing debt, and ability to sustain repayments.

Lenders must complete reasonable and proportionate affordability checks before increasing credit limits, with proportionality determined by the amount of credit, borrower's circumstances, and other contextual factors.

Lenders must complete reasonable and proportionate affordability checks before lending to ensure the borrower can repay in a sustainable way.

Lenders must make proportionate affordability checks before approving credit, particularly where debt-to-income ratios are high and evidence of financial difficulty exists.

A lender must conduct proportionate affordability checks before lending, considering the term, cost, and total amount repayable, and must verify a borrower's actual income and expenditure rather than relying solely on generic statistical da

A lender must take reasonable and proportionate steps to assess whether a borrower can afford to meet loan repayments in a sustainable manner without incurring financial difficulties.

A lender must take proportionate steps to understand whether a consumer can repay borrowed credit sustainably, with proportionality determined by the amount lent and repayment period.

A lender must carry out reasonable and proportionate affordability checks to ensure a borrower can sustainably repay credit, with particular regard to the adequacy of disposable income remaining after loan repayments.

Lenders must carry out reasonable and proportionate affordability checks including verifying income and estimating non-discretionary expenditure before approving credit.

A lender must conduct proper affordability assessment including stress testing for interest rate rises and account for all known material financial obligations before lending.

Lenders must complete reasonable and proportionate affordability checks before approving credit, considering factors such as the amount of credit, repayment obligations, duration, costs, and the consumer's individual circumstances.

A lender must carry out proportionate checks to ensure lending is affordable and sustainable, taking into account the borrower's income, expenditure, existing debt, and credit history.

Lenders must carry out proportionate affordability checks before opening credit accounts and applying credit limit increases, taking into account the customer's overall financial circumstances.

Lenders must conduct proportionate checks to ensure credit is affordable and sustainable before approval or limit increases, considering the borrower's income, credit history, repayment frequency, and personal circumstances.

Lenders must carry out proportionate affordability checks before extending credit, but there are no mandatory specific checks and the extent of checks should reflect the amount and type of credit provided.

Lenders must make proportionate affordability checks before approving credit, considering income, expenditure, credit history, and the borrower's ability to manage repayments sustainably.

Lenders must carry out reasonable and proportionate affordability checks that are borrower-focused, considering whether repayments would cause significant adverse consequences, not merely whether the lender will be repaid.

Lenders must conduct proportionate affordability checks before approving credit, considering income, existing debt, repayment patterns, and the sustainability of repayments.

Lenders must complete reasonable and proportionate affordability checks before lending, taking into account the borrower's circumstances including evidence of existing unsustainable borrowing patterns.

Lenders must make proportionate affordability checks before approving credit or increasing credit limits, considering income, credit history, existing debt levels, and repayment patterns.

Lenders must complete reasonable and proportionate affordability checks appropriate to the amount and duration of lending, with enhanced scrutiny for large amounts and borrowers nearing retirement.

A lender must carry out reasonable and proportionate creditworthiness checks to ensure a consumer can sustainably repay the loan, considering both likelihood of repayment and impact on the borrower's finances.

A lender must carry out proportionate checks to ensure lending is sustainable and not irresponsible, taking into account the borrower's financial stability and ability to repay.

A lender must carry out proportionate affordability checks that increase in depth when a consumer takes multiple loans in quick succession, particularly where debt consolidation is involved.

Lenders must make proportionate affordability checks that reveal material discrepancies between declared income and assessed income before approving credit.

A lender must carry out proportionate affordability checks before lending, but need not investigate a borrower's undisclosed financial difficulties if the checks show the borrower appeared able to manage the loan sustainably.

Lenders must conduct reasonable and proportionate affordability checks that accurately assess a consumer's actual financial position rather than relying solely on automated assessments or household income when the credit is in the consumer'

Affordability checks must be proportionate to the size, term, and cost of credit being provided, and lenders must gather sufficient information to understand a borrower's specific financial position before lending.

Lenders must carry out reasonable and proportionate affordability checks before providing credit, validated against actual expenditure evidenced through available data such as open banking statements.

A lender must not lend irresponsibly where the borrower's debt-to-income ratio introduces a real risk of unsustainable repayment or financial hardship.

Lenders must carry out proportionate affordability checks before lending, but if those checks are proportionate and show the lending is affordable, the lending decision is fair even if the consumer later experiences financial difficulties.

A lender must not continue to apply interest to a loan account after a default has been registered without proper justification.

A lender must assess a borrower's ability to repay based on the borrower's own financial circumstances, not a third party's income, even if the third party's funds are accessible to the borrower.

Lenders must conduct proportionate affordability checks before approving credit, taking into account the borrower's income, existing debt, and personal circumstances.

Lenders must make proportionate affordability checks before approving credit or increasing credit limits, considering income, credit history, repayment capacity, and personal circumstances.

A lender must not provide credit where the borrower is unlikely to be able to sustainably repay it, assessed through proportionate affordability checks and assessment of credit reliance indicators.

Lenders must carry out proportionate checks to ensure consumers can repay high-cost credit sustainably, with more thorough checks required as the lending relationship develops and risk factors emerge.

Lenders must conduct proportionate affordability assessments for secured loans, including thorough verification of expenditure and credit commitments, with heightened scrutiny for second or subsequent charges on a customer's home.

A credit union must conduct sufficient affordability checks to verify that a loan is sustainably affordable before lending, considering actual income and essential expenditure.

Lenders must conduct proportionate affordability checks before approving credit, including verification of income and assessment of financial circumstances when warning signs appear.

Lenders must conduct proportionate affordability checks and fairly consider the information obtained to make responsible lending decisions without causing financial harm.

A lender must not provide credit where the borrowing pattern and credit file data indicate unsustainable reliance on multiple forms of short-term credit, even if individual repayments appear affordable.

A lender must conduct a responsible lending assessment that accurately reflects the borrower's actual financial circumstances and ability to repay, not just modelled expenditure.

Lenders must complete reasonable and proportionate affordability checks before approving credit to ensure borrowers can sustainably repay the debt.

Lenders must carry out reasonable and proportionate affordability assessments to ensure consumers can repay credit sustainably without undue difficulty.

A lender must conduct reasonable and proportionate affordability checks before providing credit, and must not lend irresponsibly when the borrower lacks sufficient disposable income to sustain repayment.

Lenders must carry out reasonable and proportionate affordability checks that are deeper when a borrower shows signs of financial distress, such as high unsecured debt and increasing reliance on borrowing.

Lenders must carry out reasonable and proportionate affordability checks before providing credit, considering the applicant's overall financial circumstances including disposable income and existing commitments.

A lender must conduct proportionate affordability checks that establish whether a borrower can sustainably repay loans, not merely whether they have sufficient income to make repayments.

Lenders must ensure that any credit approved is affordable and sustainable for the borrower, requiring proportionate affordability checks that consider the borrower's income, expenditure, and existing indebtedness.

Lenders must carry out reasonable and proportionate affordability assessments that are borrower-focused, considering whether repayment would be sustainable without causing financial difficulties.

A lender must conduct responsible lending assessments that go beyond relying on a borrower's stated information when there are reasonable grounds to question its accuracy or when a more in-depth review would reveal unaffordability.

A lender must carry out proportionate affordability checks before lending, with the level of scrutiny varying based on factors such as borrower income, loan amount, credit history, and stage of lending relationship.

Lenders must conduct a proportionate, borrower-focused affordability assessment to determine whether credit can be repaid sustainably, taking into account the specific circumstances and the amount of credit being provided.

A lender must carry out proportionate checks to establish whether a loan would be sustainably repayable, not merely whether the borrower technically has enough money to make repayments.

A creditor may be required to cease collection activity against a debtor in cases of financial hardship and distress where repayment is unlikely, even where the debt is legally owed.

A lender acts responsibly in approving a loan if it gathers proportionate evidence of affordability through checks of income, expenditure, and bank statements before lending.

A lender acts responsibly in granting credit if, having conducted reasonable and proportionate affordability checks, it reaches a fair lending decision based on the borrower's demonstrated net disposable income and credit history.

A lender must carry out proportionate affordability checks before lending, but it is reasonable to rely on information provided by the borrower where appropriate verification has been conducted.

A lender acts fairly in making credit decisions if it conducts proportionate affordability checks and the information gathered demonstrates the borrower has sufficient disposable income to meet repayments.

A lender acts responsibly in approving loans if it conducts proportionate affordability checks and the evidence shows the borrower has sufficient disposable income to meet repayments.

Lenders must carry out proportionate checks before lending, but are not required to obtain bank statements if income verification supports the applicant's declarations and credit file shows no warning signs.

A lender's pre-lending affordability checks are fair if they are reasonable and proportionate to the credit offered and the borrower's known circumstances.

Lenders must carry out proportionate affordability checks and make fair lending decisions based on the information obtained from those checks.

A lender must carry out proportionate affordability checks before providing credit, with the level of scrutiny depending on factors such as loan amount, borrower income, and credit history.

A lender must conduct reasonable and proportionate affordability checks before providing credit, considering the borrower's income, existing debts, and ability to sustainably repay.

Lenders must carry out a reasonable and proportionate affordability assessment to ensure consumers can sustainably repay credit without undue difficulty.

A lender must perform affordability checks that are reasonable and proportionate to the nature and amount of credit being offered.

Lenders must carry out reasonable and proportionate affordability assessments to determine whether a borrower can repay credit sustainably.

A lender must carry out proportionate affordability checks before lending, tailored to the borrower's specific circumstances, but is not required to conduct forensic reviews or examine specific documents like bank statements.

Lenders must carry out a borrower-focused and proportionate affordability assessment to ensure credit can be repaid sustainably, considering the consumer's specific financial circumstances.

Lenders must ensure credit is affordable and sustainable, with checks proportionate to the credit limit and credit file status.

A lender must make reasonable and proportionate affordability checks before lending, but is not required to obtain exhaustive financial details such as bank statements or detailed expenditure analysis for loans of modest amount and duration

A lender must carry out reasonable and proportionate affordability checks before lending, but where a consumer has self-declared income on a signed application form, the lender is not required to verify that income if there is no reason to

Lenders must conduct reasonable and proportionate affordability checks commensurate with the credit amount and term, including income verification and assessment of fixed expenditures.

A lender must conduct reasonable and proportionate checks to assess the impact of repayments on the borrower, not merely the likelihood of repayment.

A lender's pre-lending checks must be reasonable and proportionate to assess whether credit can be sustainably repaid, considering the borrower's income, existing commitments, and credit history.

Lenders must conduct proportionate affordability and creditworthiness checks appropriate to the type and amount of credit, but no specific checks are mandated provided the checks are reasonable.

A lender must carry out reasonable and proportionate checks to assess whether a borrower can sustainably repay credit before approving a loan.

Lenders must complete reasonable and proportionate affordability checks before agreeing to lend to ensure the borrower can afford to repay the debt in a sustainable way.

A lender must carry out borrower-focused affordability checks that are proportionate to the loan amount, term, and the borrower's debt-to-income ratio, and should verify income and expenditure through bank statements or payslips when the de

A lender must carry out reasonable and proportionate affordability checks before lending, but the checks need not be perfect or exhaustive if they reveal sufficient information to support the lending decision.

A lender acts responsibly if it conducts reasonable and proportionate affordability checks before providing credit, considering the applicant's income, expenditure, and existing debt obligations.

Lenders must conduct proportionate affordability checks before approving credit and credit limit increases, assessing whether lending is sustainable for the borrower.

A lender must complete proportionate affordability checks before lending, and where irresponsible lending is found, should refund interest and charges while keeping the principal balance outstanding on the credit file until repaid.

Lenders must carry out reasonable and proportionate affordability checks before agreeing credit, considering the borrower's circumstances and the loan characteristics.

A lender acts responsibly if it carries out proportionate affordability checks and the borrower has sufficient disposable income to meet repayments based on verified income and committed expenditure.

Lenders must carry out borrower-focused affordability checks proportionate to the amount and type of credit, but there is no prescribed set of checks required.

A creditor must carry out reasonable and proportionate affordability checks before granting credit, and if failing to do so creates an unfair relationship under s.140A of the Consumer Credit Act 1974, it must take steps to remedy that unfai

Lenders must conduct reasonable and proportionate affordability assessments that are borrower-focused and consider whether repayment would be sustainable without causing financial difficulty.

Lenders must carry out reasonable and proportionate affordability assessments that are borrower-focused and consider whether consumers can repay credit sustainably.

Lenders must carry out proportionate affordability checks that are reasonable for the type and amount of credit, considering the borrower's circumstances and ability to repay sustainably.

Lenders must carry out a proportionate affordability assessment to ensure consumers can sustainably repay credit without undue difficulty.

A lender must carry out sufficient affordability checks before agreeing credit, but the absence of such checks does not necessarily mean lending was irresponsible if further checks would not have revealed unaffordability.

A lender must assess whether a borrower can sustainably repay a loan without undue difficulty, proportionate to the circumstances, but less thorough checks may be appropriate for early-stage lending relationships with a single loan.

A lender must carry out reasonable and proportionate affordability checks to ensure repayments would be sustainable without undue difficulty, considering the borrower's financial circumstances and the loan amount.

A lender must carry out proportionate checks to ensure credit is affordable and sustainable, but is only accountable for information it actually obtained, not for deficiencies in credit reference data.

Lenders must carry out reasonable and proportionate affordability checks that consider both the ability to repay and the impact of repayments on the consumer.

A lender must carry out reasonable and proportionate affordability checks before providing credit, with the scope of checks depending on the amount, type, cost of credit and the applicant's overall financial circumstances.

Lenders must carry out a reasonable and proportionate affordability assessment to ensure borrowers can repay credit sustainably, but checks need only be proportionate to the circumstances and information reasonably available at the time of

Payday lenders must not provide high-interest short-term loans irresponsibly and should conduct adequate affordability checks including income verification and credit assessment.

Lenders must carry out reasonable and proportionate affordability checks, but can refuse credit based on poor credit history even if affordability appears demonstrated.

A credit union must carry out sufficient affordability checks to determine whether a loan would be sustainably affordable for the applicant, even though exempt agreements are not subject to full consumer credit regulations.

Lenders must complete reasonable and proportionate affordability checks before lending to ensure the borrower can repay in a sustainable way.

A lender acts fairly in providing credit if it conducts reasonable and proportionate affordability checks based on the loan amount and borrower's circumstances.

Lenders must ensure credit is affordable and sustainable through reasonable and proportionate affordability checks appropriate to the level of credit being offered.

A lender must carry out reasonable and proportionate affordability checks before lending, but if checks are inadequate, the complaint is only upheld if proper checks would have revealed the borrower could not sustainably afford the repaymen

A lender must carry out reasonable and proportionate affordability checks before lending, and the relationship may be unfair under s.140A of the Consumer Credit Act 1974 if irresponsible lending creates unfairness that is not subsequently r

Lenders must carry out proportionate affordability checks before lending to ensure credit is affordable and customers are not exposed to foreseeable financial harm.

Pre-lending affordability checks must be reasonable and proportionate to the type, amount and term of credit being provided.

Pawnbroking agreements are not subject to the same regulatory requirements as other loans, but lenders must still comply with FCA Principles to treat customers fairly and avoid foreseeable harm.

A lender that has already offered redress in line with FOS standards for irresponsible lending need not provide additional compensation beyond that agreed redress.

A lender is not obliged to review bank statements to identify affordability concerns or personal issues like gambling addiction when the declared income and standard affordability checks show sufficient disposable income.

A credit union must carry out adequate affordability checks before lending, but automated checks based on credit file data, income verification, and ONS cost-of-living estimates can be reasonable even if they do not capture all of a consume

Lenders must ensure credit is affordable and sustainable, and must perform proportionate affordability checks before lending.

A credit union must carry out reasonable affordability and creditworthiness checks before lending, as required by FCA CREDS Chapter 7, to protect members' interests.

Lenders must complete reasonable and proportionate affordability checks to ensure borrowers can repay debt sustainably, with proportionality determined by factors including loan amount, duration, costs, and the borrower's individual circums

Lenders must ensure credit is affordable and sustainable for the borrower through reasonable and proportionate affordability checks.

Lenders must undertake borrower-focused affordability checks proportionate to the loan amount, and must investigate further when negative financial data is evident.

A lender must complete reasonable and proportionate affordability checks before approving credit, assessed against factors including credit amount, repayment size, duration, costs, and the consumer's individual circumstances.

Lenders must ensure credit is affordable and sustainable for the borrower, requiring more than reliance on averaged models and assumptions alone for significant lending.

Lenders must complete reasonable and proportionate affordability checks before lending to ensure borrowers can repay debt sustainably.