FCA: A 'promising domain' for debt management Robo-advice
'Improving borrower repayment decisions'
The FCA conducted a Robo-advice experiment online, with approximately 3,500 participant representatives from the UK population.
According to the analysis, many individuals reported that they were willing to pay more for the equipment than for their monetary gain.
It was found that free Robo-advising subjects significantly improved their repayment decisions relative to the control group.
Consumers' high evaluation of the benefits of Robo-advice for debt management and the simplicity of its execution is at odds with the lack of real-world implementation.
"The high evaluation of the benefits of Robo-advice for consumers' debt management and the simplicity of its execution is at odds with the lack of real-world implementation," the study concluded.
teracy reduced willingness to pay for Robo-advice, while high levels of risk aversion increased.