FCA bans referral fees for debt packages
What has happened?
In June 2023, the FCA announced that it is banning, through its Policy Statement 23/5, certain providers of debt advice from receiving referral fees from debt solution providers.
The ban is intended to save consumers thousands of pounds in unnecessary fees and ensure they receive better quality debt advice. It is expected that it will put a stop to the business model which incentivises debt packagers to recommend certain options that make them more money rather than what is in the customer’s best interest.
What are the key points of the Policy Statement?
How can we help you?
Thistle Initiatives has supported debt firms for over 10 years as a trusted compliance and regulatory advisor. In addition to assisting you as-and-when, its team of specialists can serve as your right hand in meeting and complying with regulations. We understand the importance of staying up-to-date and compliant and are dedicated to providing the guidance and support needed to do so.
Are you looking for help with your debt packaging or debt advice arrangements, becoming FCA authorised, or more general regulatory questions? Contact our specialist team now to schedule a free consultation. Get in touch with us by calling 020 7436 0630 or sending an email to firstname.lastname@example.org.