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| Version 2 | Version 3 |
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| Provident Financial appoints new boss to home credit arm | Provident Financial appoints new boss to home credit arm |
| (about 5 hours later) | |
| Troubled doorstep lender Provident Financial has made a management change at its consumer credit division. | Troubled doorstep lender Provident Financial has made a management change at its consumer credit division. |
| The firm lost two-thirds of its share value on Tuesday after it issued its second profit warning in three months. | The firm lost two-thirds of its share value on Tuesday after it issued its second profit warning in three months. |
| Chris Gillespie has been appointed managing director of the home credit business, replacing Andy Parkinson. | Chris Gillespie has been appointed managing director of the home credit business, replacing Andy Parkinson. |
| His task is to re-establish relationships with customers, bring collections back to a normal level and stabilise the operation of the company. | His task is to re-establish relationships with customers, bring collections back to a normal level and stabilise the operation of the company. |
| Shares in the firm were up 17% in morning trading in London on Friday. | Shares in the firm were up 17% in morning trading in London on Friday. |
| How life changed for a Provident agent | |
| The FTSE 100 company expects to make losses of £80m to £120m after its debt collection rates fell to 57%, compared with a 90% rate in 2016. | The FTSE 100 company expects to make losses of £80m to £120m after its debt collection rates fell to 57%, compared with a 90% rate in 2016. |
| Bradford-based Provident recently changed the way it collected its loans, replacing self-employed agents with "customer experience managers". | Bradford-based Provident recently changed the way it collected its loans, replacing self-employed agents with "customer experience managers". |
| Chief executive Peter Crook resigned earlier this week. | Chief executive Peter Crook resigned earlier this week. |
| Manjit Wolstenholme, Provident Financial executive chair, said she was seeking to "turn the home credit business around and to putting a plan in place to deliver good results for the company". | Manjit Wolstenholme, Provident Financial executive chair, said she was seeking to "turn the home credit business around and to putting a plan in place to deliver good results for the company". |
| Also joining the firm's home credit business are Luke Enock, who currently works for Provident subsidiary Satsuma, and Greg Cant, also currently employed at Provident. | Also joining the firm's home credit business are Luke Enock, who currently works for Provident subsidiary Satsuma, and Greg Cant, also currently employed at Provident. |
| FCA probe | FCA probe |
| The company has some 2.5 million customers, many of whom would not qualify for a standard bank loan and are therefore categorised as "sub-prime". | The company has some 2.5 million customers, many of whom would not qualify for a standard bank loan and are therefore categorised as "sub-prime". |
| Provident had first flagged up problems in June. | Provident had first flagged up problems in June. |
| At the time, it said not enough of its self-employed debt collectors had applied to become employed by the company. | At the time, it said not enough of its self-employed debt collectors had applied to become employed by the company. |
| It had also been less effective at collecting money and selling new loans, while a greater number of agents than normal had left. | It had also been less effective at collecting money and selling new loans, while a greater number of agents than normal had left. |
| The company said then it expected profits to be £60m at its consumer credit division. | The company said then it expected profits to be £60m at its consumer credit division. |
| Its other divisions - Vanquis Bank, sub-prime car loan business Moneybarn and consumer credit brand Satsuma - are trading in line with expectations. | Its other divisions - Vanquis Bank, sub-prime car loan business Moneybarn and consumer credit brand Satsuma - are trading in line with expectations. |
| However, Vanquis has been under investigation by watchdog the Financial Conduct Authority, which had concerns about one of its products. | However, Vanquis has been under investigation by watchdog the Financial Conduct Authority, which had concerns about one of its products. |
| Provident agreed to suspend all sales and is awaiting the outcome of that inquiry. | Provident agreed to suspend all sales and is awaiting the outcome of that inquiry. |