Persistent Debt Regulation and Advanced Analytics
Here’s how decision optimization can improve cardholders’ strategies to comply with persistent debt regulation and help consumers meet their credit burdens.
Executive Brief
The Financial Conduct Authority of the United Kingdom (FCA) has recently introduced new rules to avoid long-term indebtedness of credit card holders. As per this regulation, a cardholder is in persistent debt if payments against interest, fees and charges exceed amortisation payments over an 18-month period. The 18-month period is reset if the card balance falls below £200.
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