Our expert team provides specialist regulatory support for both new entrants and established firms in the credit lending sector – currently a key area of focus for the FCA.
These are both exciting and challenging times for credit lending, with innovative new lenders coming into the sector looking to service a range of markets including:
- Short-term lending
- Salary advances
- Term loans, and
- Asset-backed lending
Credit lenders operate under a number of different licences including:
- Peer-to-peer (P2P) lending
- Direct credit lending, and
- High-cost short-term credit lending (HCSTC)
The regulator will be focusing in particular on the quality of your underwriting policy and your ability to manage debt appropriately following drawdown. If you rely to some extent on an algorithm to help you do this, it’s essential you have appropriate systems, controls and governance around its operation. We can advise you on precisely what the regulator’s looking for here.
A particular area of concern for the FCA has been the HCSTC market, where it introduced a price cap in 2015 and has since carried out a number of reviews looking at how the market works and how it interacts with customers. Again, we can provide practical guidance on meeting the FCA’s requirements.
Whatever model or structure your firm adopts, Thistle has the experience and expertise to provide a comprehensive and effective regulatory support service in the credit lending space. If you are just moving into this market, we can guide you through the FCA authorisation process – then work with you to keep you fully up to speed with a constantly evolving regulatory landscape.
To learn more about how we can help you operate both profitably and compliantly in the credit lending sector, please get in touch. You can reach us by filling in the contact form on the right, by emailing email@example.com, or by calling 0207 436 0630.