Support During Financial Difficulty and Responsible Lending
Financial circumstances can change. UK consumer credit regulation recognises this and requires lenders to support customers who experience financial difficulty.
Cashfloat is authorised and regulated by the Financial Conduct Authority (FCA) and follows rules designed to ensure customers are treated fairly, especially when repayments become difficult.
This page explains what support is available, how responsible lending works in practice, and where independent help can be found.
What Is Financial Difficulty?
Financial difficulty can arise for many reasons, including:
- Changes to income or employment
- Unexpected expenses
- Illness or personal circumstances
- Increases in essential living costs
Experiencing financial difficulty does not mean a customer has done anything wrong. FCA rules require lenders to take these situations seriously and respond appropriately.
FCA Rules on Supporting Customers in Difficulty
Under FCA consumer credit rules, lenders must:
- Treat customers in financial difficulty with forbearance and due consideration
- Avoid taking action that could worsen a customer’s situation
- Provide clear information about available support
These rules are designed to reduce harm and help customers regain control of their finances where possible.
How Cashfloat Supports Customers
Cashfloat has processes in place to support customers who experience financial difficulty.
Support may include:
- Reviewing repayment arrangements
- Considering appropriate forbearance options
- Providing clear information about next steps
- Referring customers to independent sources of support where appropriate
Each situation is assessed individually, taking account of a customer’s circumstances.
Responsible Lending in Practice
Responsible lending means ensuring that borrowing decisions are made carefully and that customers are supported throughout the borrowing relationship.
This includes:
- Carrying out affordability and creditworthiness checks before lending
- Providing clear information about costs and repayments
- Monitoring accounts for signs of difficulty
- Offering support when circumstances change
What Customers Can Do If They Are Struggling
If repayments become difficult, it is important to engage early. Customers are encouraged to:
- Review their financial situation
- Contact their lender to discuss concerns
- Seek independent guidance if unsure what to do
Early communication can help identify appropriate support and prevent situations from escalating.
Why Support and Responsible Lending Matter
Supporting customers during financial difficulty is a core part of responsible lending. It helps to:
- Reduce the risk of long-term financial harm
- Ensure fair treatment under UK regulation
- Maintain transparency and accountability in lending
Understanding what support is available can help customers make informed decisions and seek help when needed.
Support Applies Across All Borrowing
Support for customers in financial difficulty applies consistently across all borrowing offered by Cashfloat, including:
The same regulatory standards and consumer protections apply in all cases.
Independent Help and Debt Advice
Free, impartial guidance is available through MoneyHelper.
MoneyHelper provides information on:
- Managing money and budgeting
- Dealing with debt
- Understanding options when facing financial difficulty
MoneyHelper can also signpost to specialist debt advice services where appropriate.