Which companies subscribe to the Code?
The Lending Code covers all member companies of the Finance & Leasing Association (FLA) which offer consumer credit or motor finance.
Members of the FLA offer several different types of credit:
Secured loans are personal loans where the lender has some rights over the customer’s assets if the loan is not repaid. An example is second charge mortgages. Some customers use such loans to consolidate debts at lower annual percentage rates (APRs).
Unsecured loans are personal loans where the lender does not have any rights over the customer’s assets. Such loans are often used to purchase cars or home improvements.
Credit cards and store cards offer consumers a very flexible and convenient way of accessing credit, with the option to pay the lender back immediately or over time.
Store instalment credit is typically used to purchase electrical goods, furniture and furnishings. Payments are usually monthly, and may be interest free or follow a deferred start.
Short term credit is typically used for a few weeks to bridge a shortfall of money until the customer's next payday. Loans are usually for a small amount of money, and are automatically paid back on an agreed date.
Motor finance is finance obtained through a car dealership. This can be a lease deal, Personal Contract Purchase, Hire Purchase or an unsecured loan from the dealer. Under most motor finance deals, the finance company will own the car until the last payment is made. The secured nature of the finance allows motor finance companies to offer good deals on finance.
The following FLA members are bound by the Lending Code:
Consumer credit
Barclays Partner Finance
Blemain Finance
Central Trust Group
CitiFinancial Europe plc
Compello Operations Ltd
Creation Financial Services Ltd
FIRSTPLUS Financial Group plc
GE Money Home Finance Ltd
HBoS Consumer Retail
HFC Bank Ltd
Hitachi Capital (UK) plc
Home Retail Group Financial Services
IKANO Financial Services
Lloyds TSB Asset Finance Division Ltd
MBNA Europe Bank Ltd
Nationwide
Nemo Personal Finance Ltd
Norton Financial Services Ltd
Ocean Money
Prestige Finance
Premium Credit Ltd
Progressive Credit Ltd
Quickbridge (UK) Ltd
Santander Cards (UK) Ltd
Santander Consumer (UK) plc
Shawbrook Bank Ltd
Shop Direct Finance Company LTD
Swift Advances plc
SWT Finance Ltd
The Paragon Group of Companies
Motor Finance
Advantage Finance Ltd
All in One Finance Ltd (UK Car Group Ltd)
Banque PSA Finance
Barclays Partner Finance
BMW Financial Services (GB) Ltd
British Credit Trust Holdings Ltd
Carlyle Finance Ltd
Close Motor Finance Ltd
FCE Bank plc
FGA Capital UK Ltd
First National Motor Finance
First Response FInance Ltd
GMAC (UK) plc
Harley-Davidson Financial Services Europe Ltd
Honda Finance Europe plc
HSBC Equipment Finance
LeasePlan UK Ltd
Lloyds TSB Asset Finance Division Ltd
Lombard North Central plc
Mercedes-Benz Financial Services UK Ltd
Moneybarn
Moneyway
NIIB Group Ltd
PACCAR Financial Ltd
Porsche Financial Services GB Ltd
Raphaels Bank
RCI Financial Services GB Ltd
Santander Consumer (UK) plc
The Car Finance Company
The Funding Corporation Ltd
Toyota Financial Services (UK) plc
Volkswagen Financial Services (UK) plc