Status: Please note you should read all Brexit changes to the FCA Handbook and BTS alongside the main FCA transitional directions. Where these directions apply the 'standstill', firms have the choice between complying with the pre-IP completion day rules, or the post-IP completion day rules. To see a full list of Handbook modules affected, please see Annex B to the main FCA transitional directions.

CONC 8.10 Conduct of business: providing credit information services

Application

CONC 8.10.1RRP

This section applies to:

  1. (1)

    a firm with respect to providing credit information services in relation to information relevant to the financial standing of an individual;

  2. (2)

    a firm with respect to the activities set out in article 36H(3)(e) to (h) of the Regulated Activities Order (Operating an electronic system in relation to lending) in relation to a borrower under a P2P agreement.

Conduct

CONC 8.10.2GRP

The Principles apply to a firm with respect to providing credit information services. A firm providing such services should, for example, set out clearly in any communication to a customer the extent of the service it is able to offer.

[Note: paragraph 3.46 of DMG]

CONC 8.10.3RRP

A firm must not:

  1. (1)

    claim to be able to remove negative but accurate information from a customer's credit file, including entries concerning adverse credit information and court judgments; or

    [Note: paragraph 3.47ai of DMG]

  2. (2)

    mislead a customer about the length of time that negative information is held on the customer's credit file or any official register; or

    [Note: paragraph 3.47aii of DMG]

  3. (3)

    claim that a new credit file can be created, such as by the customer changing address.

    [Note: paragraph 3.47aiii of DMG]

CONC 8.10.4GRP

It is likely to be a contravention of the Principles, for example Principles 6 and Principle 7, where a firm:

  1. (1)

    claims in a communication to a customer to be able to remove negative but accurate entries from a customer's credit file, but where the customer enquires about this service the customer is offered instead the firm's service as a lender or a credit broker; or

  2. (2)

    fails to inform a customer that a credit reference agency will not respond to the firm taking steps in relation to the customer's credit file and will only send the customer's credit file to the customer.

    [Note: paragraphs 3.47cd of DMG]