by Colin Macpherson
You may have gained your authorisation from the FCA, or maybe you are currently going through the application process. You may even be one of the last ones to apply – all applications from credit brokers with interim permission have to be in by 31st March 2016 at the latest.
But wherever you are in the process, the positive news is that every one of our retail partners’ applications has been successfully approved by the FCA so far.
Once approved, the next step is getting to grips with the implications of being authorised. Put simply, it means you need to have processes within your operations that will keep your business compliant.
This will include:
- Reviewing your website to make sure it “ticks the right boxes” for compliance
- Having an ‘advertised’ complaints procedure that conforms to the guidelines issued by the FCA, this includes a link on your website
- Making sure you treat every customer fairly (and gather evidence or management information to back this up)
- Developing an evolving compliance monitoring process so you always keep up-to-date with your responsibilities as an authorised credit broker
- Providing a suitable level of training and awareness for all customer facing staff as it relates to your credit broking services
- Putting processes in place to gather the management information to allow you to complete your GABRIEL returns in a timely and efficient manner
Remember, we are here to help – just ask your Business Development Manager if you have any questions.
There is no doubt that the main focus area for the FCA will be consumer protection. As part of ensuring customers are treated fairly, reviewing your reward structures or the way your sales staff are paid may be required. In addition, the finance products you offer customers may also be reviewed from time to time. The good news is CCS are in regular negotiations with our lenders to ensure you are offering the ‘best of breed’ in terms of credit products to your customers ― often at attractive rates that customers cannot get elsewhere!
Going forward, our message is clear. Businesses that treat customers fairly have nothing to fear from the FCA – but you do need to make sure you invest enough time in putting compliance processes in place.