News
FLA hits back at R3 proposals on store cards
The Finance & Leasing Association (FLA) has hit back at calls from R3 for restrictions on the sale of store cards. Fiona Hoyle, the FLA's Head of Consumer Finance, said:
"Store cards are a well-established way for responsible borrowers to access good deals from high street stores. The statistics speak for themselves. The average outstanding balance on a store card is only £142. Most card users pay what they owe within the interest-free period. More than half of all store cards have a zero balance or are in credit. And from June this year, customers will have 14 days to cancel their agreement. Restricting the sale of store cards will simply deny credit to many borrowers and undermine any recovery on the high street."
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Note to editors
The FLA is the leading trade association for the asset, consumer and motor finance sectors in the UK, covering secured and unsecured loans and credit and store card providers. In 2009 FLA members provided £52.8 billion to the consumer finance sector, representing almost 30% of all unsecured lending in the UK.
For further media information, please contact:
Russell Hamblin-Boone, FLA
T: 020 7420 9656 E: russell.hamblin-boone@fla.org.uk M: 07810 374110
Helen Saxon, FLA
T: 020 7420 9664 E: helen.saxon@fla.org.uk M: 07918 766993