The Package

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Debt problems can impact on the Mental Health of the population

people who struggle financially in the midst of the Corona-Virus-pandemic, should not be charged interest on The First £500 of the existing current account has proposed loans for 90 Days , the British financial watchdog.

The Financial Conduct Authority (FCA) also suggested that repayments on loans and credit cards to be frozen, for up to three months for the trouble.

The FCA said the outbreak of the unprecedented financial shock had caused an "example".

experts suggest that the support of banks is currently a "gap".

banks said they were with a view to record numbers of calls for help, but in the support of customers.

Quick change

In a time frame reserved for emergency measures, The City watchdog calls for the banks to respond to the proposed measures by Monday, may 6. April, and it wants You to come out in force to Thursday, 9. April.

After the FCA has announced that, recently, many banks increased their fees for some customers and groups, a similar figure of about 40%.

In its latest announcement, the watchdog said: "over The Next 90 Days , companies would have to ensure that all consumers are not worse and not pay More Than they would have under the previous prices. "

Other measures proposed to help fight include the borrower:

The FCA also said that consumers should not see with these measures, your credit rating affected.

the FCA's interim chief executive Christopher Woolard, said: "If confirmed, The Package of measures we propose today, will help consumers affected by the temporary financial support they need to help them weather The Storm during this difficult time. "

Some lenders have already introduced measures to help people affected by the financial impact of the epidemic, but Martin Lewis , founder of money saving expert, described the image as "banks lottery".

If approved, these proposals would bring a "level playing field" for the borrower. However, You would need to contact your bank in order to access The Help , rather than just to stop repayments.

"If You are struggling to afford the interest and debt repayment, assume all of these things are in place, until it is confirmed by your bank. If You just stop payments without confirmation until the end of may, to be hunted to be, for payments and fees in addition to their debt," said Sarah Coles, Personal Finance analyst at Hargreaves Lansdown .

These are the rules of the emergency, to ensure that people affected by The Crisis , falling through the cracks.

You could make a Big Difference , because the customer help You can apply for, to know that the regulator - the Financial Conduct Authority (FCA) - is on your side.

banks have already taken their own measures to help families affected by a sudden loss of income.

But vary their powers and some that do not match up to The Level of protection that the FCA wants to see.

On top of that, the new guide covers a wide range of loans, bank loans, catalogue credit.

customers need to be aware that the interest could be the building in the background and have later paid.

But on overdrafts, the stop-gap regime is clear: You can request to pay, zero interest for three months.

This could make a Big Difference , because there are, just like most of the big banks, the introduction of dispos of almost 40%.

the contact with banks can be frustrating, to present, with long queues, but the information is also available on lender web sites and some offer online applications for assistance.

Apart from The Zero -interest-on £500 arranged overdraft facilities, business is not entitled to a "reasonable rate" when a customer requested a repayment holiday on loans, credit cards and customer cards.

Mr Lewis said: "the pay, the holidays mean exactly what they Say - You don't pay, but You can still be charged interest. And with interest rates often high, especially on the cards, that can mean storing up problems for the future.

"Those who fight for cash flow may have no choice, but if You don't need to do it. "

banks already offer for some customers to fight.

Stephen Jones , chief executive of Uk Finance for banks and other lenders, said: "It is not essential that the FCA interfere with the proposals, the provision of loans to borrowers, and The Business models of credit providers, including those outside of the mainstream market. "

Mr Jones said that the credit received donor were a record number of calls, but also in view of the staffing pressure. He urged the customers to check out their lender is The First website to see if they are the answer to your question, and look at Getting In touch via Online Chat , Social Media and online banking and mobile apps.

uk banking, credit cards, personal finance, financial conduct authority (fca), coronavirus pandemic, personal debt

Source of news: bbc.com