The FCA Consumer Duty: Putting Your Customers First

The Financial Conduct Authority's (FCA) Consumer Duty, effective from July 2023, marks a significant shift in the regulatory landscape. It moves beyond a focus on just avoiding harm to consumers and emphasises delivering good outcomes throughout the customer journey.

Why is the Consumer Duty So Important?

The Consumer Duty places the customer at the heart of financial services. This means firms need to:

• Provide products and services that meet customer needs and offer fair value.

• Ensure customers understand the products they are buying and the risks involved.

• Offer clear and accessible communication throughout the customer journey.

• Treat customers with fairness and provide support when needed.

The Challenge: Ensuring Good Outcomes Across a Complex Ecosystem

Delivering good customer outcomes in today's financial services landscape can be a complex challenge. Businesses often rely on a network of third-party vendors who play a crucial role in product development, service delivery, and data management. Weaknesses in vendor practices can directly impact customer experience and potentially lead to non-compliance with the Consumer Duty.

How Vendifi Helps You Meet the Consumer Duty Challenge

Vendifi empowers you to demonstrate compliance with the Consumer Duty by providing a comprehensive view of your vendor ecosystem:

• Vendor Risk Mapping: Vendifi helps you identify how your vendors are linked to specific systems, processes, and ultimately, customer outcomes. This visibility is crucial for understanding potential risks and ensuring a smooth customer experience.

• Internal Ratings Feature: Vendifi allows you to capture and track internal vendor performance ratings. This data helps you identify vendors whose practices might negatively impact customer outcomes and take corrective action if needed.

Vendifi: Your Partner in Delivering Good Customer Outcomes

By leveraging Vendifi's vendor management capabilities, you can:

• Proactively manage vendor risk: Identify and mitigate potential issues before they impact customers.

• Select the right vendors: Choose vendors who align with your commitment to high customer standards.

• Monitor vendor performance: Ensure vendors consistently deliver services that meet customer needs.

• Demonstrate compliance: Provide clear evidence to the FCA that you are taking steps to deliver good customer outcomes.

Vendifi goes beyond vendor management; it helps you build a customer-centric culture. With Vendifi as your partner, you can navigate the evolving regulatory landscape with confidence, knowing that you are putting your customers first.