Laybuy publishes UK buy-now-pay-later Code of Practice

By Oliver Smith on Monday 30 November 2020

Alternative Lending

The lender is already in talks with Klarna and ClearPay over establishing a UK Code.

Laybuy publishes UK buy-now-pay-later Code of Practice
Image source: Gary Rohloff (right)/Laybuy.

New Zealand-based buy-now-pay-later (BNPL) platform Laybuy has today released a draft Code of Practice which it’s calling on BNPL providers in the UK to sign up to.

The code includes standards of advertising, assessing and supporting vulnerable customers, providing hardship assistance, and handling complaints.

It also details an ‘approved dispute resolution scheme’, however this has yet to be defined and the draft document makes it clear it’s something which will be discussed with future signatories.

Laybuy’s move is a clear push towards self-regulation of the UK BNPL industry, a move the lender is well-versed in given it has a similar code in place in New Zealand supported by fellow lender ClearPay.

A Laybuy spokesperson told AltFi that both Klarna and ClearPay have been approached with the draft UK Code and “both have responded positively”.

Gary Rohloff, managing director and co-founder of Laybuy said: “As one of the UK’s largest BNPL providers, we feel very strongly that establishing a code of conduct which prioritises and protects consumers is the right thing to do.”

“While Laybuy already prides itself on operating to the highest standards, we recognise that, in lieu of formal regulation, we have an obligation to help ensure the sector is acting fairly, openly and responsibly."

"This means taking a transparent and customer-focused approach to the design and marketing of BNPL products and supporting compliance with legal and regulatory obligations.”


 

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Companies in this Article:

Klarna
Laybuy

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