FCA Aims to Simplify Savings Market

The UK based Financial Conduct Authority is proposing new rules to simplify the savings market; banks will be able to offer new customers multiple introductory rates for the first 12 months then choose a single rate for easy access accounts and easy access cash savings Isas; Christopher Woolard, FCA Executive Director of Strategy and Competition, said to the FT: “Competition is not working well for many of the 40m consumers with easy access savings accounts and we want that to change.”; the changes are meant to help savers better understand rates and generate better returns which are down to 0.59 percent from 0.64 percent a years ago; Jenny Ross, Editor of consumer group Which? Money, tells the FT, “Switching is complicated by firms offering a huge array of products at different rates, often with unclear pricing information, so it’s right that the regulator is intervening with the introduction of a single easy access rate.” Financial Times

Sign up for our Newsletters

Every morning the LendIt Fintech News team scours the globe for the most important fintech stories of the day in the daily Global newsletter.

The Europe edition comes out on Monday, Wednesday, and Friday featuring the most important stories in European and UK fintech.

The Latin American newsletter arrives in your inbox on Tuesdays and Fridays. This is a trilingual newsletter featuring stories in Spanish, Portuguese, and English.

Join 20,000 subscribers!