Claims Management Companies - part three

•Threshold Conditions - Firms required to meet minimum 

  standards.

•1 Jan – 31 Mar 2019 – apply for temporary permission

•Application Period 1 – All Fin Ser CMC + Scotland only Firms (1 

  April – end May 2019)

•Application Period 2 – All other CMC – Personal injury / housing 

 disrepair (1 June – end July 2019)

•Brady review – preventing Phoenixing by defunct CMC

•6 / 12 Month timescale for approvals - complete / incomplete 

  applications.

The Consultation Paper published by the FCA is inviting comments by 22nd October 2018.

CMC that are currently Authorised by the Claims Management Regulator will need to reapply for authorisation.  

Solicitors that are currently authorised to carry out legal activities by the Solicitors Regulatory Authority will not need to apply and will continue to be regulated by the SRA.

Compliant Solutions Limited - experts in helping Financial Services Businesses deal with the business challenges of Financial Conduct Authority Compliance - for help contact ian@compliantsolutions.co.uk

or visit www.compliancetips.co.uk

Claims Management Firms - Part 2

Firms will also need to consider :

Financial Crime and Money Laundering Controls

Whistle blowing

Customers Best Interest Rule

Vulnerable Customers Policies

14 days cancellation rights (cooling off)

Reporting lead generators that not regulated

Annual return about important data CMC001

Change of Control : different approach – tell within 14 days (not s178)

Capital Adequacy : Lead Gen are solvent

Capital Adequacy : Class 1 CMC (turnover > £1M) £10,000, Class 2 £5,000 or fixed overheads requirement (which ever is the greater)

Plus extra £20,000 if holding Client Money

Compliant Solutions Limited - experts in helping Financial Services Businesses deal with the business challenges of Financial Conduct Authority Compliance - for help contact ian@compliantsolutions.co.uk

or visit www.compliancetips.co.uk

Claims Management Companies - part one

Key points to consider :

•The Financial Guidance and Claims Act 2018

•CP 18/15 – 264 pages 

•1 April 2019 – FCA takes over (subject to Parliamentary approval)

•New Rules to apply – pre sale; regular updates; clarity on fees; marketing; 

  disclosure of Ombudsman (free) services

•All calls will need to be recorded – 12 month  retention

•Capital resourses requirements

•Client Money controls – appoint a Person Accountable for Client Money

•Lead generation and Data Protection issues

•Complaints handling and Firms will be  subject to FOS


Compliant Solutions Limited

 - experts in helping Financial Services Businesses deal with the business challenges of Financial Conduct Authority Compliance - for help contact ian@compliantsolutions.co.uk


Or visit www.compliancetips.co.uk

Anti-Money Laundering Supervison

HM Treasury has published their Consultation outcome regarding Money Laundering Supervision.

The Office for Professional Body AML Supervision (OPBAS) Regulations will come into effect on 18 January 2018.   OPBAS will oversee the 22 Accountancy and Legal Professional Body AML supervisors in the UK and seek to achieve consistency.

This new body will be "hosted" by the Financial Conduct Authority - and will act as a means for HM Government to implement reforms to the anti money laundering and counter terrorist financing supervisory regime.

More details may be found at 

https://www.gov.uk/government/consultations/anti-money-laundering-supervisory-review/anti-money-laundering-supervisory-review-consultation

This is a further example of how HM Government are seeking ways to combat Financial Crime - and comes after the publication of  SI 2017 / 692 last year which set out the requirements placed upon Businesses to combat Money Laundering in the UK.

Compliant Solutions Limited - experts in helping Financial Services Businesses deal with the business challenges of Financial Conduct Authority Compliance - for help contact ian@compliantsolutions.co.uk