This guide is aimed at smaller credit brokers, to help them understand and implement our expectations in a way that is proportionate to their business.
Who this guide is for
This guide is to help smaller credit brokers (generally, firms with fewer than 10 people) understand what we expect of them.
This includes firms authorised as limited permission credit brokers (which could include motor dealers, dentists or gyms) or full permission credit brokers (which could include firms whose main business is introducing customers to lenders or brokers).
Check to see what type of credit broker you are[1]
This guide is also relevant for firms who carry out credit broking on behalf of another firm that is directly authorised by us (the principal).
We refer to these firms as appointed representatives (ARs) or as introducer appointed representatives (IARs), a category of ARs that is limited to sharing non-real time financial promotions and introducing consumers to their principal. Section 9 of this guide has more information on the requirements ARs should follow.
This guide is not an alternative to reading and understanding our Handbook. You should consider it alongside the FCA Handbook[2], Consumer Finance Regulatory Priorities Report[3], and My FCA portal[4].
Firms can also contact us[5].
How to read this guide
This guide explains our requirements and expectations, and where they derive from. It also includes case studies to illustrate good practice, and a glossary.
If you want to find out more about where our expectations come from, we have provided directories of links to our rules and relevant publications. You should click on the dropdowns to find these.
Throughout, we use ‘must’ where an action is required by a rule, and ‘should’ where we think a firm should consider a course of action, but it isn’t mandatory.
Guide sections
- Section 1: Running your credit broking business – the basics [6]
- Section 2: Promoting your business and finding customers[7]
- Section 3: Dealing with customers[8]
- Section 4: Making sure the right people are in the right roles[9]
- Section 5: What checks your business needs to have in place[10]
- Section 6: Handling complaints when things go wrong[11]
- Section 7: Updating us[12]
- Section 8: How we supervise firms[13]
- Section 9: Using appointed representatives[14]
Next steps
This guide is part of a pilot to support small firms to navigate our requirements. We welcome your feedback on whether you have found it helpful[15].
