Apply to become a debt firm

Find out how to apply to us for authorisation if you’re a debt advice, debt collection or debt purchaser firm, or if you conduct debt administration.

Read everything listed below

Start with our main 'how to apply' page for all applicants

Prepare your application

Include your business plan and other supporting material

Pay the application fee

You must pay this in order to apply

Submit your application

You'll do this on our Connect system, so please register first

If you want to engage in regulated activities, you must be authorised by us with the relevant permissions. You'll need to demonstrate that you can consistently deliver good outcomes for retail consumers.

What to read first

The application process Supporting material Our letters to your sector

The application process

Our how to apply[1] page explains:

our expectations of all firms
the application process
how to avoid delays with your application

You must read this page in full before submitting your application through our Connect[2] system.

Supporting material

Along with your application form, you'll need to provide a range of supporting documentation including your:

regulatory business plan
financial forecasts
required policies, procedures and other relevant forms on Connect

Check what supporting material[3] you need to include.

Our letters to your sector

We expect you to make our Consumer Duty[4] a top priority.

Read our relevant portfolio letter that sets out our view of the main risks of harm and the action we expect firms to take:

If you're a debt advice firm (including not-for-profit debt advice), you should also read our letter about how to implement the Consumer Duty[7].

Prepare your application

You'll submit your application through Connect[2], so make sure you register[8].

Your application must include your:

application form
regulatory business plan (RBP)
financial forecasts – learn how to prepare your firm's financial information[9]
other relevant forms and supporting material[3]

In your application, you'll need to demonstrate how your firm defines, monitors, evidences and stands behind the outcomes its customers are experiencing. We expect you to be able to identify when customers experience poor outcomes, and the resulting action you'll take to rectify the situation.

Below are the specific things we expect to see in your application, based on your type of firm, in order to demonstrate that you can meet our expectations.

We know we're asking for lots of information, but if you submit everything required in sufficient detail it'll help us assess and determine your application without delays.

Using your permissions within 12 months of getting authorised

You'll need to demonstrate that your firm can use the permissions you're applying for within 12 months of you getting authorised.

This is so that consumers don't get misled. It also saves us having to cancel any of your unused permissions.

For debt advice firms (excluding not for profit)

In your RBP, make sure you explain/provide:

the aims and objectives of your firm and why you're applying for authorisation
the full range of activities your firm will undertake, including activities that we don't regulate
why the permissions applied for are needed for your business
what types of debt solutions will your firm provide advice on and offer
the third-party debt solution providers your firm will pass consumers onto and whether your firm will be receiving a referral commission in return
your firm's target market, including the research that's been conducted to show that the product or service your firm offers meets the needs and characteristics of the target market
how your firm will obtain customers (lead generators, financial promotions, website, etc)
how the business activities are funded and how revenue is generated
an organisation chart that shows your key staff and roles
the experience of senior managers at your firm, explaining why you believe they have the necessary skills, experience and regulatory knowledge to lead an authorised firm
your debt advice process – ie initial engagement, assessment of circumstances, determination of suitable solutions and exit points
- it should also be clear where consumers will be referred to if they aren't suitable for a debt solution offered by the firm, or if the recommended debt solution isn't provided by the firm
how your firm will conduct assessments of customers' financial circumstances and their suitability for appropriate debt solutions
how your firm ensures that all advice given and actions taken are in the best interests of the customer
customer communications (eg customer communication templates such as call scripts or guides that demonstrate how customers are kept informed), including how communications are tailored to the different needs of customers, eg those in vulnerable circumstances
whether your firm is to be a Section 21 financial promotions approver[10]

For not-for-profit debt advice firms

Read our full guide for not-for-profit firms[11].

For debt administrators

In your RBP, make sure you explain/provide:

the aims and objectives of your firm and why you're applying for authorisation
the full range of activities your firm will undertake, including activities that we don't regulate
why the permissions applied for are needed for your business
who you'll be providing services for, how the business activities are funded, how revenue is generated and how the firm is remunerated
the number of customer accounts your firm intends to service upon authorisation, and 12 months after authorisation
your firm's target market and evidence the research that's been conducted to show the product or service your firm offers meets the needs and characteristics of the target market
projections of volumes of customers to be serviced, both within and, where applicable, outside the FCA perimeter
an organisation chart that shows your key staff, roles and where they're located
the experience of senior managers at your firm, explaining why you believe they have the necessary skills, experience and regulatory knowledge to lead an authorised firm
how customers are onboarded (ie from client-to-firm systems, and documents of operational controls relating to data accuracy, data cleansing, account sampling and reconciliation)
the customer journey – from acquisition/on-boarding to customer touchpoints, decisioning and exit points, as well as your firm's customer contact strategy
customer communications (eg customer communication templates such as call scripts or guides that demonstrate how customers are kept informed), including how communications are tailored to the different needs of customers, eg those in vulnerable circumstances
your conduct risk framework, including quality assurance monitoring
whether your firm is to be a Section 21 financial promotions approver[12]

For debt collectors

In your RBP, make sure you explain/provide:

the aims and objectives of your firm and why you're applying for authorisation
the full range of activities your firm will undertake, including activities that we don't regulate
why the permissions applied for are needed for your business
who you'll be providing services for, how the business activities are funded, how revenue is generated and how the firm is remunerated
your firm's target market and evidence the research that's been conducted to show the product or service your firm offers meets the needs and characteristics of the target market
projections of volumes of customers to be serviced, both within and, where applicable, outside the FCA perimeter
an organisation chart that shows your key staff, roles and where they're located
the experience of senior managers at your firm, explaining why you believe they have the necessary skills, experience and regulatory knowledge to lead an authorised firm
how customers are onboarded (ie from client-to-firm systems, and documents of operational controls relating to data accuracy, data cleansing, account sampling and reconciliation)
the customer journey, from acquisition/on-boarding, customer touchpoints, customer decisioning, customer exit points and document your firms customer contact strategy
customer communications (eg customer communication templates such as call scripts or guides that demonstrate how customers are kept informed), including how communications are tailored to the different needs of customers, eg those in vulnerable circumstances
your conduct risk framework, including quality assurance monitoring
if your firm will use external agents, eg to collect, enforce or trace and connect
- where this is the case explain, who you'll contract for these services
if your firm will use continuous payment authorities to collect payments and, if so, how it will comply with our rules
whether your firm is to be a Section 21 financial promotions approver[14]

In your financial forecasts:

you must provide at least 3 years of forecasts, but you may wish to provide up to 5 years to support your application
in your summary you should include a set of the 3 financial statements (balance sheet, profit and loss, cashflow) under a stressed set of assumptions

For debt purchasers

In your RBP, make sure you explain/provide:

the aims and objectives of your firm and why you're applying for authorisation
the full range of activities your firm will undertake, including activities that we don't regulate
why the permissions applied for are needed for your business
who you will be providing services for, how the business activities are funded, how revenue is generated and how the firm is remunerated
your firm's target market and evidence the research that's been conducted to show the product or service your firm offers meets the needs and characteristics of the target market
what types of debts you are purchasing and from which creditors
the number of customer accounts your firm intends to have on its books on authorisation and 12 months after authorisation
what due diligence has been completed on intended debt sellers and how you have satisfied yourself on the appropriateness of the transfer
how customer liability will be managed between your firm and the creditors
which Debt Collection Agencies / Legal Recovery Firms will be used for debt collection or debt recovery
projections of volumes if customers to be serviced, both within and, where applicable, outside the FCA perimeter
an organisation chart that shows your key staff, roles and where they're located
the experience of senior managers at your firm, explaining why you believe they have the necessary skills, experience and regulatory knowledge to lead an authorised firm
how customers are onboarded (i.e. from client to Firm systems and document operational controls relating to data accuracy, data cleansing, account sampling and reconciliation)
the customer journey – from acquisition/on-boarding to customer touchpoints, decisioning and exit points, as well as your firm's customer contact strategy
customer communications (eg customer communication templates such as call scripts or guides that demonstrate how customers are kept informed), including how communications are tailored to the different needs of customers, eg those in vulnerable circumstances
your conduct risk framework, including quality assurance monitoring
if your firm will use external agents, eg to collect, enforce or trace and connect
- where this is the case, explain who you'll contract for these services
if your firm will use continuous payment authorities to collect payments and, if so, how it will comply with our rules
whether your firm is to be a Section 21 financial promotions approver[15]

You must answer all questions on the application honestly (including, where relevant, on Form As), and provide us with full information regarding any disclosures you make.

If in doubt, let us know as much as possible, even if it may not seem relevant.

If you don't disclose something, we take this very seriously and may consider it to be evidence of dishonesty and/or lack of integrity.

Application fee

You have to pay a fee to submit your application, unless you're a not-for-profit firm. The fee is non-refundable.

Type of firm	Application fee
Debt advice	Pricing category 3 or 6
Not-for-profit debt advice	No fee to pay
Debt collector or debt purchaser	Pricing category 5
Debt administrator	Pricing category 5

Find out more about our authorisation fees[9], including our pricing categories and how to pay.

Final check and submit

Before you submit everything on Connect, give it one more check to be sure you've included everything.

Our how to apply page has 3 top tips to ensure your application goes smoothly, and explains what happens after you've submitted it.

If you need more help

Please contact us on 0300 500 0597. We're open Monday, Tuesday, Wednesday and Friday 9am to 5pm, and Thursday 9.45am to 5pm.

19/12/2023 : Link added Letter to debt advice firms

First published: 27/04/2020 Last updated: 13/01/2026 See all updates

Apply to become a debt firm

What to read first

The application process

Supporting material

Our letters to your sector

Prepare your application

Using your permissions within 12 months of getting authorised

For debt advice firms (excluding not for profit)

For not-for-profit debt advice firms

For debt administrators

For debt collectors

For debt purchasers

Application fee

Final check and submit

If you need more help

On this page

In this section

More on authorisation