Credit Today of UK reported that Business Minister Norman Lamb welcomed a modified code of conduct for payday loan lenders as supported and implemented by the four major trade associations of the payday loan industry. 

The four are” Consumer Finance Association (CFA), Finance and Leasing Association (FLA), British Cheque and Credit Association (BCCA) and the Consumer Credit Trade Association (CCTA).

With the revised code, the lenders commit to:
•    Give “clear information” about how the loans work and examples of cost for every £100 borrowed. 
•    Exert no pressure to take out the loan or to roll over an existing one
•    Conduct a “sound, proper and appropriate affordability assessment and credit vetting” to make sure the customers can afford the loan
•    Notify customers at least three days in advance that payments are to be made “through a continuous payment authority.”
•    Freeze interest and charges if a customer is in financial trouble and is making payments, or after a maximum of 60 days of non-payment. 
•    Educate consumers about “continuous payment authority” and their rights to cancel it.

The Minister expressed hope that the new code will reduce the problems caused to some by rogue lenders in the payday loan industry.