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How unexpected life events can make even the strongest customers vulnerable?
Adrian Moloney | 22.05.2023
Adrian Moloney, Group Intermediary Director, Kent Reliance for Intermediaries
As a big rugby union fan, I always look forward to the Six Nations Championship every year.
While I was watching the Ireland v Wales match on the opening weekend, I was struck by the size and strength of modern rugby players. Words like ‘physicality’, ‘pace’ and ‘power’ come to mind when you watch them competing ferociously for every ruck, maul and tackle. In fact, they look so invincible one word you wouldn’t associate with them is ‘vulnerable’.
As is so often the case however, appearances can be deceptive and sportspeople, just like the rest of us, can often find themselves in situations outside of their control.
I was reminded of this the other day when I heard that the Wales squad is threatening to go on strike over a contract dispute. The story mentioned one current player who said the financial uncertainty the team was facing meant he was missing out on mortgage offers.
Now being unable to apply for a mortgage might not sound as though someone’s ‘vulnerable’, especially when they’re an international-standard athlete at what you’d think was the peak of their earning power. But according to the player1, having no guarantees about his long-term income and his inability to secure the mortgage his family needs has resulted in him having to take anti-depressants to cope with the stress of the situation.
A life event, such as income shock suffered by the person I’ve talked about above, is one of the four pillars of vulnerability included in the Financial Conduct Authority’s (FCA) guidance of how firms regulated by the FCA can support vulnerable customers. Other examples include retirement, bereavement, relationship breakdown, domestic abuse and caring responsibilities.
As an FCA regulated lender, ensuring customers have an appropriate degree of protection is central to what we do. We’re committed to ensuring vulnerable customer experience outcomes as good as those received by other customers.
We want to create a culture of openness and transparency – and we can only do that with your support. The most important thing you can do is to tell us as soon as possible when submitting an application if your customer is vulnerable or if you suspect they may have vulnerabilities.
To find out more, take a look at our Consumer Duty Hub which outlines the roles and responsibilities expected of us. You’ll also find details about what we’re doing as a business to meet them and provide good outcomes for your customers, as well as copies of our fair value assessments.
Get in touch with us or speak to your BDM to find out how we can help. This article forms part of a series around the four pillars of vulnerability, others articles cover resilience, health, capability and life event.
