International Personal Finance, the Leeds-based provider of sub-prime credit in fast-growing markets, said it has avoided a fine in Poland following a review by the Eastern European country’s consumer protection and competition office.
The office reviewed the calculation of fees for IPF’s loan products.
IPF said it had made the required commitment to replace variable administrative and home service fees on loans with fixed rates by its implementation deadline of August.
No fine will be levied on the company.
The office review was part of an overall investigation into the practices of a number of non-bank consumer credit providers in respect of the calculation of fees for loan products.
IPF said its new structure has been tailored to customers’ preferences and allows them to choose between three product packages and have a flexible payment plan. IPF said it expects there will be no material financial impact on the company in introducing the new structure, which is supported by the results of tests currently underway.
Separately, it is continuing to await a date for the court process to begin its appeal against the December 2013 findings of the office’s investigation into its total cost of credit and APR calculation methodology, which does not form part of today’s decision.
The company said it disagrees with the office’s decision and submitted its appeal in January 2014.