A consultation into the secured loans market has been launched by the Association of Finance Brokers (AFB). The organisation's white paper discusses a number of regulatory possibilities for the future of the sector ahead of the introduction of the European Consumer Credit Directive. According to the AFB, the unsecured loans market can either choose to remain within the remit of the Office of Fair Trading ad Consumer Credit Act or fall under the control of the Financial Services Authority.
Robert Sinclair, director of the AFB, said it was "vital" that the industry takes a "proactive" view of regulations to "ensure the best outcome for brokers, lenders and most importantly consumers". "Secured lending has a part to play in debt financing but it is vital consumers are treated fairly and well protected," he remarked. The AFB is now inviting comments to be made on its white paper before September 30th. Representing the "collective view" of its members, the AFB provides a voice to the secured loan broker industry when dealing with the regulator and policymakers.
Source: http://www.beatthatquote.com