Research finds that more than half of banking customers say banks are unsupportive and should be doing more to help them understand their finances: given 1.3m missing household payments this is becoming crucial to address.

IN BRIEF:

- The research commissioned by experience services business - Foolproof, a Zensar company, demonstrates the need for the FCA’s Consumer Duty principle which was/will be implemented last/next week

- Off the back of this research, Foolproof financial services experts encourage banks and financial providers to consider the term ‘vulnerable customer’ carefully and urges them to ensure they are offering services that are clearly worded, informative and supportive

- The firm believes that the combination of lack of financial comprehension and the continued squeeze on household incomes may see many previously solvent Brits in danger of falling into the ‘vulnerable’ category

What does this mean?

Anup Rege, Chief Business Officer, Foolproof, a Zensar company said: “Consumer Duty talks much about protecting vulnerable customers. However, the term vulnerable, with regards to finance, has the danger of being misconstrued as being a smaller group of people than could actually be the case. Anyone seriously worried about their finances should be considered in this category and financial services businesses will need to think about what services can be created to support them. The spirit of Consumer Duty is in embodying that lives change and that some financial products stay with people across significant changes in their life, and this broader definition is incredibly important in the present moment.”