Affordable Credit Policy Template
Length: 9 Pages
Applies to: Consumer Credit Firms
Get a fully editable Affordable Credit Policy Template to help your firm meet the FCA’s Consumer Credit Sourcebook (CONC) obligations, particularly around responsible lending, affordability assessments, and creditworthiness checks. This document provides a clear, structured policy for ensuring all credit is issued in a sustainable, fair, and compliant way, supporting good consumer outcomes and meeting regulatory expectations under CONC 5, CONC 6, and Consumer Duty.
The policy sets out firm-wide procedures for conducting affordability and creditworthiness assessments, including income and expenditure reviews, credit reference checks, and manual underwriter oversight. It includes guidance on vulnerability considerations, re-lending safeguards, and how to ensure that credit products remain appropriate throughout the customer’s journey, not just at the point of origination.
Templates, decision logs, and checklists are provided for documenting the rationale behind lending decisions, including sections on decline criteria, exception handling, and escalation procedures. The policy also outlines how to align internal processes with FCA affordability rules, covering both automated and manual underwriting models and third-party lender partnerships.
A strong emphasis is placed on training and governance, ensuring staff are equipped to identify signs of financial difficulty, apply proportionate affordability checks, and escalate concerns where needed. The policy includes monitoring and MI reporting frameworks to support regular oversight by senior management and demonstrate that the firm is proactively managing lending risks.
Ideal for consumer credit providers, alternative lenders, retail finance firms, and compliance professionals, this Microsoft Word template is instantly downloadable and fully editable. It saves time and helps ensure your credit practices align with FCA expectations, protecting your business and customers from harm caused by unaffordable lending.
Length: 9 Pages
Applies to: Consumer Credit Firms
Get a fully editable Affordable Credit Policy Template to help your firm meet the FCA’s Consumer Credit Sourcebook (CONC) obligations, particularly around responsible lending, affordability assessments, and creditworthiness checks. This document provides a clear, structured policy for ensuring all credit is issued in a sustainable, fair, and compliant way, supporting good consumer outcomes and meeting regulatory expectations under CONC 5, CONC 6, and Consumer Duty.
The policy sets out firm-wide procedures for conducting affordability and creditworthiness assessments, including income and expenditure reviews, credit reference checks, and manual underwriter oversight. It includes guidance on vulnerability considerations, re-lending safeguards, and how to ensure that credit products remain appropriate throughout the customer’s journey, not just at the point of origination.
Templates, decision logs, and checklists are provided for documenting the rationale behind lending decisions, including sections on decline criteria, exception handling, and escalation procedures. The policy also outlines how to align internal processes with FCA affordability rules, covering both automated and manual underwriting models and third-party lender partnerships.
A strong emphasis is placed on training and governance, ensuring staff are equipped to identify signs of financial difficulty, apply proportionate affordability checks, and escalate concerns where needed. The policy includes monitoring and MI reporting frameworks to support regular oversight by senior management and demonstrate that the firm is proactively managing lending risks.
Ideal for consumer credit providers, alternative lenders, retail finance firms, and compliance professionals, this Microsoft Word template is instantly downloadable and fully editable. It saves time and helps ensure your credit practices align with FCA expectations, protecting your business and customers from harm caused by unaffordable lending.
Length: 9 Pages
Applies to: Consumer Credit Firms
Get a fully editable Affordable Credit Policy Template to help your firm meet the FCA’s Consumer Credit Sourcebook (CONC) obligations, particularly around responsible lending, affordability assessments, and creditworthiness checks. This document provides a clear, structured policy for ensuring all credit is issued in a sustainable, fair, and compliant way, supporting good consumer outcomes and meeting regulatory expectations under CONC 5, CONC 6, and Consumer Duty.
The policy sets out firm-wide procedures for conducting affordability and creditworthiness assessments, including income and expenditure reviews, credit reference checks, and manual underwriter oversight. It includes guidance on vulnerability considerations, re-lending safeguards, and how to ensure that credit products remain appropriate throughout the customer’s journey, not just at the point of origination.
Templates, decision logs, and checklists are provided for documenting the rationale behind lending decisions, including sections on decline criteria, exception handling, and escalation procedures. The policy also outlines how to align internal processes with FCA affordability rules, covering both automated and manual underwriting models and third-party lender partnerships.
A strong emphasis is placed on training and governance, ensuring staff are equipped to identify signs of financial difficulty, apply proportionate affordability checks, and escalate concerns where needed. The policy includes monitoring and MI reporting frameworks to support regular oversight by senior management and demonstrate that the firm is proactively managing lending risks.
Ideal for consumer credit providers, alternative lenders, retail finance firms, and compliance professionals, this Microsoft Word template is instantly downloadable and fully editable. It saves time and helps ensure your credit practices align with FCA expectations, protecting your business and customers from harm caused by unaffordable lending.