Tuesday, 5 December 2017

Provident Financial's Moneybarn car loan unit facesFinancial Conduct Authority probe

Shares in the troubled sub-prime lender Provident Financial have fallen by up to 18%, after the firm revealed that its car finance division is being investigated by the regulator.

The Financial Conduct Authority (FCA) is to examine the way that Moneybarn assesses car-buyers for loans.

Provident Financial's credit card division - Vanquis - is already being investigated by the FCA.

Shares in Provident have lost nearly 80% of their value since May this year.

In a statement, Provident Financial said that the FCA's inquiry would look at "the processes applied to customer affordability assessments for vehicle finance, and the treatment of customers in financial difficulties."

BBC      News.