Belfast Telegraph

watchdog calls for 'mental capacity' loan test

LENDERS must take steps to ensure people borrowing money from them have the mental capacity to make an informed decision, says a public watchdog. The Office of Fair Trading is running a consultation on the steps lenders must take to ensure a customer is in a position to understand what they are doing and to assess whether they can afford the repayments on any debt they take on. Its guidance aims to protect vulnerable consumers from taking on unsustainable debt.