TransUnion has today unveiled a new advisory paper, “Thriving in the Age of Consumer Duty: Strategies for Success,” to support businesses as they move into the new era of Consumer Duty, with the implementation milestone coming into effect on 31 July 2023.
The new Consumer Duty regulation from the Financial Conduct Authority (FCA) requires firms within the financial services sector to prioritise customer needs and empower them to make informed financial decisions.
TransUnion’s report expands on four key areas of focus:
Products and services outcome – firms will need to revisit their existing offerings to ensure they are fit for purpose.
Price and value outcome – firms must reassess their pricing and the value their products provide to consumers.
Consumer understanding outcome – a firm’s communications should support consumers and enable them to make informed decisions.
Consumer support outcome – firms must ensure they are able to offer support that meets consumers’ needs throughout the relationship.
Sharing his views on the importance of Consumer Duty, CEO of TransUnion in the UK, Satrajit “Satty” Saha said: “Whilst firms will no doubt already have been working hard to achieve positive outcomes for their customers, this added regulatory focus will help reinforce just how pivotal it is that the consumer is at the heart of everything we’re doing in financial services.
“The long-term financial wellbeing of consumers is crucial, not only for their own prosperity, but also for the success and sustainability of the economy. It’s imperative the industry proactively embraces conversations surrounding financial wellbeing, treating it with the same importance as mental and emotional wellness.”
In its spring 2023 survey, the FCA found that 64% of firms expect to be fully compliant with the new regulation by the 31 July, indicating that many companies are still in the process of amending their offering and will need ongoing support. The report delves into practical strategies, with data and insights at their core, to help ensure compliance, now and in the long-term.