Changes to Consumer Credit Act regulation
Consumer Credit Act (CCA) reforms will come into force next April.
All CCA licence holders will be affected, including those who have a CCA licence to allow them to refer potential borrowers/hirers to banks, leasing companies and finance brokers.
The Financial Conduct Authority (FCA) has now written to all CCA licence holders to highlight the new requirements and is intending to start taking applications for interim authorisation in September. Any business that wants to (legally) engage in any CCA regulated activity post 1 April 2014 will need to have done two things:
- Made the application for interim authorisation; and
- Reviewed its business structures and processes to ensure they are consistent with FCA requirements.
Failure to do either could have serious consequences.
Key action point:
- If we can help at all, please do not hesitate to contact our Financial Compliance team who will be happy to assist.