FCA Consumer Credit Authorisation Solutions | Pre-licensing Support | Consumer Credit Firms’ FCA Application Management | Post-licensing Risk and Compliance Solutions

We offer a comprehensive set of solutions to help you obtain and maintain a UK FCA Consumer Lender Authorisation issued by the UK Financial Conduct Authority (FCA), tailored to:

• Your business goals and objectives
• Your client demographics
• Your countries of operation
• The size of your business
• The available human and technological resources
• Your risk appetite
• Your governance structure
• The products that you offer
• FCA regulated consumer credit firms’ obligations covering risk and compliance management under financial laws and regulations, the applicable financial licensing requirements, AML/CFT laws, privacy laws, consumer protection laws, and more

We have designed our regulatory licensing solutions to help you navigate the complexities of the FCA consumer lending authorisation regime in a commercially oriented and goal-focused manner, providing effective support for all stages of the UK consumer credit firms’ licensing process, including but not limited to the following aspects:

• FCA Consumer Credit Authorisation Guidance: Advising on a wide range of aspects associated with an FCA consumer credit authorisation as it relates to your specific situation
• Pre-licensing assessment: Covering compliance gap analysis as well as risk and compliance assessment
• Pre-licensing support:
• Drafting the necessary policies and procedures to help you comply with the UK consumer credit firms’ licensing conditions and financial markets' regulations
• Developing internal controls to help you meet your obligations under the FCA consumer lending authorisation regime
• Consumer Credit Firms’ FCA Application Support: Covering the entire licensing process
• Post-licensing Support: Covering
• Ongoing compliance advice
• Comprehensive second-line risk and compliance support, including leading the implementation of your risk management framework (RMF), compliance management framework (CMF), compliance monitoring program (CMP), compliance calendar and checklist, ongoing risk assessments, internal and external reporting, outsourced providers' management, and more
• AML/CFT advice
• AML/CFT compliance management
• Compliance assurance solutions, including compliance assurance program (CAP) development, implementation, and internal control testing

 

 

Service Coverage

This page is about the UK FCA Consumer Lenders Authorisation. In the United Kingdom, firms that carry on regulated consumer credit activities - such as providing personal loans, hire purchase, conditional sale, retail finance, payday lending, vehicle finance, and Buy Now Pay Later arrangements - must be authorised by the Financial Conduct Authority (FCA) under the Consumer Credit Act 1974 and the Financial Services and Markets Act 2000 (FSMA).

Authorised firms are subject to ongoing prudential, conduct, and reporting obligations, including the FCA’s CONC sourcebook (Consumer Credit Handbook), rules on affordability, responsible lending, advertising restrictions, and consumer protection.

We offer comprehensive support for a wide range of consumer credit firms’ FCA applications tailored to meet the specific needs of the following businesses:

• Non-bank consumer credit providers
• Personal loan and retail finance companies
• Vehicle finance platforms
• Payday and short-term lenders
• Buy Now Pay Later (BNPL) providers
• Community and microfinance consumer lenders
• Digital lending platforms operating in the UK

You can find more information about our FCA consumer credit authorisation solutions below:

 

UK Consumer Credit Firm Licensing Preparation

Pre-licensing Compliance Assurance

Our FCA consumer credit authorisation solutions cover the following focus areas:

• Compliance Goals Analysis: We review your business-specific goals and resources against the suitability criteria for an FCA consumer credit authorisation
• Initial Consultation: We provide guidance on potential risk and compliance issues that may arise during the UK consumer credit firms’ licensing process
• Choosing the Right Jurisdiction: We assist in evaluating regulatory, risk, and compliance environments to determine the most suitable jurisdictions for your FCA consumer credit authorisation, tailored to suit your:

• business objectives,
• operational capacity,
• client base,
• markets of operations,
• and other relevant factors

• Gap Analysis: We identify gaps between your existing operations and regulatory requirements and help you align them in a commercially oriented manner
• Consumer Credit Firms’ FCA Application Plan: We help you establish a roadmap to effectively meet the requirements for your FCA consumer credit authorisation

 

FCA Consumer Credit Authorisation Guidance

Selecting the right compliance model is crucial not only for navigating the licensing process but also for maintaining ongoing compliance and avoiding potential breaches. Our UK consumer credit firms’ licensing solution covers:

• Compliance Model Selection: To help you best comply with the FCA consumer lending authorisation regime and related risk and compliance obligations.
• Corporate Governance Model Selection: We offer practical guidance on establishing effective corporate governance practices that support your risk and compliance oversight.
• Operations Model Advisory: We advise you on optimising your operational and governance models to help you efficiently comply with the licensing requirements for deposit takes and lenders and other applicable FCA regulated consumer credit firms’ obligations, keeping in mind your specific circumstances, available resources and business goals.

 

FCA Consumer Credit Authorisation and Entering Regulated Environment

We help businesses transition from an unregulated environment to operating under the FCA consumer lending authorisation regime, helping them meet their obligations as a FCA consumer credit authorisation holder.

We also assist already regulated businesses in aligning their existing risk and compliance management structures with the FCA consumer lending authorisation regime requirements.

Our focus areas for this service include:

• New businesses
• Existing UK consumer credit firms operating in unregulated markets
• Regulated UK consumer credit firms that expand into foreign jurisdictions
• Financial institutions and/or service providers with established risk and compliance frameworks seeking to offer regulated deposit-taking or lending services as a new product.

 

Multi-Jurisdictional Compliance

With years of experience managing risk and compliance obligations for businesses operating under multiple financial licences across various jurisdictions, we help businesses remain compliant with the obligations of regulated consumer credit firms globally.

 

FCA Consumer Credit Authorisation and Wholesale Markets

Obtaining a UK FCA Consumer Lenders Authorisation may not be necessary or suitable for all businesses, particularly where lending activity is limited to corporates, partnerships, or high-net-worth borrowers. Wholesale or business lending generally falls outside the scope of the FCA’s consumer credit regime, as the regime is designed to protect individual retail borrowers.

We offer risk and compliance management solutions to assist wholesale or business lenders that:

• Operate exclusively in corporate or institutional lending markets
• Provide credit facilities limited to professional or high-net-worth borrowers
• Structure lending activity in a manner that qualifies for exemptions from FCA consumer credit authorisation

We help these lenders manage obligations that may still apply, including:

• FCA perimeter guidance (PERG) checks to ensure activities remain outside the consumer credit regime
• AML/CTF compliance under the UK Money Laundering Regulations 2017
• Unfair Contract Terms Act (UCTA) and Consumer Rights Act 2015 compliance, where relevant
• Oversight of outsourced service providers and governance frameworks
• Advertising and financial promotions rules to avoid misrepresentation or inadvertent retail targeting

 

Consumer Credit Firms’ FCA Application

We assist with your consumer credit firm FCA application through ongoing engagement in the UK consumer credit firms’ licensing process:

• Document Compilation and Review: We compile and review all required supporting documents to support your consumer credit firm's FCA application.
• Application Form Completion: We help you complete the forms so that all material information is accurate and complete.
• Pre-Submission Review: We can arrange a pre-submission review session with key stakeholders to ensure all parts of your application are understood and agreed upon. This session aligns application details with the actual situation, removing ambiguity.
• UK Consumer Credit Firms’ Licensing Process and Regulatory Liaison: We manage the end-to-end submission process, maintaining clear and effective communication channels throughout the licensing process.
• Timeline Management: We closely monitor and adhere to all necessary deadlines, providing timely updates and adjustments to keep the application process on track.

 

Resolving FCA Consumer Credit Authorisation Issues

Having competent compliance advisors is crucial when licensing issues arise. Therefore, our FCA consumer credit authorisation solutions include a range of services to address and resolve these issues effectively:

• Remediation Solutions for FCA Consumer Credit Authorisation Applicants: We address and remediate risk and compliance issues identified by regulators, helping your operations align with the FCA consumer lending authorisation regime requirements.
• Specific Licence Conditions Compliance: We can help you manage additional conditions imposed on your FCA consumer credit authorisation, developing a tailored action plan to maintain compliance and facilitate the eventual removal of these conditions with minimal disruption to your business operations.

• Licensing Issues Handling: We address common licensing issues encountered during the UK consumer credit firms’ licensing process, providing you with solutions to navigate and resolve these challenges efficiently.
• Further Information: You can visit our Compliance Remediation Solutions page for more information.

 

Post-Licensing Support

We offer a full range of ongoing risk and compliance solutions for licensed UK consumer credit firms. Our services include, but are not limited to:

Ongoing Risk and Regulatory Compliance

• FCA Regulated Consumer Credit Firms’ Obligations Guidance: We can advise your risk, compliance, management and other teams on meeting the requirements of the FCA consumer lending authorisation regime and other regulatory compliance obligations. You can visit our Compliance Consultancy Service page for more information.
• Regulatory Risk and Compliance Management: We provide dedicated compliance managers to manage your overall compliance. For more information, visit our Specialised Compliance Management Solutions page for Consumer Lenders.
• Compliance Assurance Solutions: As part of our compliance assurance solutions, we offer:
• Compliance Assurance Program (CAP) development and testing options
• Internal Controls Design option
• Internal Controls Testing option
• Internal AML/CFT Review option
• Statutory AML/CFT Audit option
• Compliance Training Solutions: We offer training programs to different teams on complying with:
• FCA regulated consumer credit firms’ obligations for risk and regulatory compliance management. You can visit our Compliance Training page for more information.
• UK Consumer Credit Firms’ Licensing AML/CFT obligations and operational best practices for fraud prevention. You can visit our AML/CFT Training page for more information.
• Crisis Management Planning: We can develop proactive strategies to manage potential compliance crises effectively.
• Anti-Money Laundering (AML) and Counter Terrorist Financing Solutions: We provide a full range of AML/CFT solutions for UK consumer credit firms. For more information, visit our Specialised AML/CFT Solutions page for Consumer Lenders.
• Advanced Compliance Technologies: We can assist you with selecting and integrating advanced technology solutions, such as compliance automation tools and regulatory technology (RegTech), to streamline compliance processes without disrupting operations.
• Risk and Compliance Framework Adjustments: Including adjustments to risk management frameworks (RMFs), compliance monitoring programs (CMPs), compliance management frameworks (CMFs), and other core procedures and policies to align them with:
• new business goals
• regulatory changes
• changes in your operations
• evolving market conditions
• changes in stakeholders’ risk appetites (your banking partners, insurance companies, liquidity providers, etc.).

 

 

Risk and Compliance Obligations for FCA Consumer Credit Authorisation Holders

FCA consumer credit authorisation holders are subject to various obligations set out in applicable laws and regulations. They are also expected to uphold standards for their conduct and internal operations, as outlined in regulatory guidance or accepted industry practices.

We can help you address these obligations and expectations through comprehensive support across various areas. The list below is not exhaustive:

FCA Consumer Credit Authorisation and Regulatory Compliance Obligations

• Compliance Management Systems: We can help you establish effective compliance programs, compliance monitoring plans, controls testing methodologies, compliance calendars and more (as per the requirements of FSMA 2000 and FCA Handbook CRED 1.2).
• Risk Management Frameworks: We can help you develop comprehensive risk management frameworks to fulfil FCA regulated consumer credit firms’ obligations for identifying, assessing, and mitigating operational, regulatory, strategic, financial and other types of risks.
• Policy and Procedure Development: We can help you draft and implement policies and procedures aligned with the UK consumer credit firms’ licensing requirements.
• Compliance Monitoring Plans: We can oversee the execution of your CMPs, covering ongoing monitoring of your compliance obligations under the FCA consumer lending authorisation regime.
• Internal Control Testing and Compliance Assurance: We can conduct internal reviews and audits of your controls to test their effectiveness and compliance with the applicable regulatory standards.
• Credit Contract Compliance: We can help you establish controls to comply with consumer lending and disclosure obligations applicable to UK consumer credit firms entering into regulated credit contracts, including hardship provisions and responsible lending requirements.

 

FCA Consumer Credit Authorisation and Operational Oversight Obligations

• Oversight of Outsourcing: We can establish a set of effective controls to comply with FCA regulated consumer credit firms’ obligations for overseeing outsourced services (as per FCA Handbook SYSC 8 (Outsourcing) and CRED 1.7), also covering related obligations under AML/CFT compliance, ISO requirements, and more.
• Structures for Governance: We can help you establish effective governance structures to comply with FCA regulated consumer credit firms’ obligations and develop an effective approach to overseeing your risk exposure and compliance status across different functions of your business.
• Senior Management Accountability: We can help you comply with the FCA regulated consumer credit firms’ obligations for senior management and key staff conduct and competence. (Senior Managers & Certification Regime under FSMA 2000 and CRED 1.8 on key personnel fitness)
• Maintaining Operational Resilience: We assist in developing continuity plans to meet FCA regulated consumer credit firms’ obligations for operational resilience, helping critical business services withstand disruptions.
• Managing Technology Risks: We provide guidance on technology risk management obligations under the FCA consumer lending authorisation regime.
• AFCA Scheme Integration: We assist firms with AFCA membership applications, complaint‑handling policy drafting, and FCA reporting in line with CRED 6.
• Hardship and Responsible Lending Frameworks: We support firms in embedding hardship variation procedures, borrower communications, and staff training to comply with CCA 1974 and CRED 4.

 

FCA Consumer Credit Authorisation and Market Integrity/Transparency Requirements

• Standards for Market Conduct: We can help you implement controls for FCA regulated consumer credit firms’ obligations to maintain fair and transparent market conduct, including preventing manipulation and insider trading.
• Principles for Fair Treatment: We can help you implement controls to comply with expectations that cover adherence to principles of fair treatment and transparent communications with clients (as per FCA Handbook PRIN 6 and PRIN 7).
• Standards for Conduct and Disclosure: We can help you comply with UK consumer credit firms’ licensing standards for conduct and disclosure.
• Product Suitability and Governance: We can establish tailored controls to help licensed UK consumer credit firms comply with product suitability and governance obligations, including risk management and governance arrangements across the product life cycle.
• Resolution of Disputes: We can help you establish effective mechanisms for dispute resolution and complaints management, particularly for retail clients.

 

FCA Consumer Credit Authorisation and Resource Management Obligations

We can help you comply with the following requirements of the FCA consumer lending authorisation regime:

• Adequacy of Resources: Covering financial, technological, human and other resources.
• Competence of Professionals: Covering key personnel, their necessary skills, knowledge, and professional competence.
• Our focus areas include:

• Assessment and Gap Analysis: We can help you evaluate the adequacy of your financial, technological, and human resources against the requirements of the licensing regime.
• Resource Allocation Plans: We can help you develop strategies to optimise resource allocation, covering sufficient capacity for compliance, trading, operations, banking, customer support and other functions and departments.
• Technological Solutions: We can recommend and implement RegTech tools to streamline compliance processes, such as transaction monitoring, reporting, and audit trails.
• Key Personnel Assessment: We can help you assess the skills, qualifications, and experience of key personnel to identify areas for improvement.
• Training and Development Programs: We can design and deliver targeted compliance training programs to upskill personnel in compliance, risk management, deposit taking or lending regulations.
• Competence and Accreditations of Advisors and Representatives: We can advise you on certifications and continuing professional development (CPD) requirements for compliance professionals and senior management.
• Representative Vetting: We can help establish a framework for assessing the competence and suitability of advisors and representatives before appointment.
• Compliance Monitoring: We can help develop controls to monitor representatives' adherence to conduct and disclosure obligations.
• Ongoing Training: We can help you create a framework to support continuous education for advisors and representatives on licensing obligations, market integrity, and client interaction standards.
• Regulator Liaison: We can act as an intermediary with regulators to address queries and help you demonstrate compliance with resourcing obligations.

 

FCA Consumer Credit Authorisation and Reporting

• Regulatory Reporting: We can help you prepare and submit periodic and ad-hoc reports covering:
  • UK consumer credit firms’ licensing obligations
  • UK consumer credit firms’ AML/CFT obligations (SMRs, STRs, SARs, cross-border transaction reports, cash transaction reports, and other reporting obligations)
  • UK consumer credit firms’ obligations under financial market conduct regulations
• Compliance Documentation: We can help you develop and maintain the necessary documentation to meet record-keeping obligations under various laws and regulations.
• Audit Readiness: We can prepare you for audits and reviews to demonstrate compliance with regulatory requirements, provisions of the FCA consumer lending authorisation regime, applicable operational standards, and more.

 

 

Related Services

We assist in obtaining FCA consumer credit authorisation equivalents in the following jurisdictions:

• Australia: For more information on the Australian equivalent of an FCA consumer credit authorisation, the consumer lending ACL, you can visit our Consumer Lending ACL page.
• Singapore: For more information on the Singaporean equivalent of an FCA consumer credit authorisation, the Singapore moneylenders licence, you can visit our Singapore Moneylenders Licence page.
• New Zealand: For more information on the New Zealand equivalent of an FCA consumer credit authorisation, the FSP registration, you can visit our New Zealand FSP Registration page.
• Other Jurisdictions: We also offer licensing solutions for consumer lending platforms and services in prominent financial centres and offshore tax havens, including but not limited to:

• Cayman Islands
• Bermuda
• Gibraltar
• Isle of Man
• Malta