CONC 7.2 Clear, effective and appropriate policies and procedures in respect of customers in or approaching arrears or in default
Arrears and default policies
A firm must establish and implement clear, effective and appropriate policies and procedures for:
1In developing policies and procedures in accordance with CONC 7.2, a firm should have regard to the FCA’s Guidance for firms on the fair treatment of vulnerable customers (FG21/1) (https://www.fca.org.uk/publication/finalised-guidance/fg21-1.pdf).
In developing procedures and policies for dealing with customers who may not have the mental capacity to make financial decisions, firms may wish to have regard to the principles outlined in the Money Advice Liaison Group (MALG) Guidelines “Good Practice Awareness Guidelines for Consumers with Mental Health Problems and Debt”.
[Note: paragraph 3.7r (box) of DCG]
1A firm must ensure that the effectiveness of any policies and procedures put in place further to CONC 7.2.1R, and the firm’s compliance with them, is reviewed at appropriate intervals.