THE Financial Conduct Authority (FCA) has presented its views on commission models. The views were made at the recent BVRLA Leasing Broker Committee meeting on November 05, 2019 at the BVRLA’s Amersham HQ. The FCA, which is currently consulting on the banning of commission models that offer motor finance brokers and dealers an incentive to raise customers’ interest rates, provided clarification to…
I WANT to take issue with the story Regulatory threat to PCH on treating customers fairly run in Broker News, November 12, 2019.. Karima Haji, director of Auto Novo, makes the point that treatment of leasing brokers is more ‘fluid’ than that of captives, car finance brokers and car dealers. Not only is that statement baffling, but it’s incorrect. All sectors are…
THE growth of personal contract hire has been spectacular – the BVRLA’s latest leasing statistics show that broker-driven personal leasing is at +23% against a declining business contract hire market. But with this growth comes an increasing regulatory threat believes Karima Haji (above), director of Auto Novo, a change practitioner in the automotive sector. “The issue is over treating customers fairly,” commented…
LEASING broker audits carried out by the BVRLA will include assessment of Financial Conduct Authority (FCA) permissions. The BVRLA says its audit programme will consider whether brokers are involved in any introductory activity for products or services outside of their own business offers. And whether brokers have sufficient permissions. For example, a common activity for brokers to be involved in an introduction…
THE Financial Conduct Authority (FCA) says it will ban the way some car finance brokers and car retailers sell motor finance. It is concentrating on the way brokers can set the finance rate and the resultant commission. The FCA says this is not in the best interests of consumers and will save car buyers of PCP products £165m a year. The move…
SANTA, mince pies and yo! ho! ho! might seem a long way off. But brokers need to make sure they can enjoy Christmas by acting early to meet the new FCA Senior Managers & Certification Regime (SM&CR). From December 09, 2019, the SM&CR will replace the current Approved Persons Regime for SM&CR firms. Complying with FCA SM&CR does not require a change…