GEN 7.1 1Application

Who? Where?

GEN 7.1.1RRP

This chapter applies to a firm carrying on activities from an establishment in the United Kingdom.

What?

GEN 7.1.2RRP

This chapter applies where a firm operates a telephone line for the purpose of enabling a consumer to contact the firm in relation to a contract that has been entered into with the firm in the course of, or in connection with:

  1. (1)

    regulated activities; or

  2. (2)

    payment services.

MiFID firm exception

GEN 7.1.3RRP

This chapter does not apply for telephone lines provided in respect of contracts relating to the MiFID business of a firm.

Payment services exception

GEN 7.1.4RRP

This chapter does not apply to2 telephone lines which:

  1. (1)

    enable payment service users to request information to which paragraph (2) of regulation 562 of the Payment Services Regulations applies; or

  2. (2)

    relate to the termination of a framework contract, unless:

    1. (a)

      the framework contract was concluded either for a fixed period of more than 12 months or for an indefinite period; and

    2. (b)

      at least 12 months of the framework contract have expired.

Complaints exception

GEN 7.1.5RRP

This chapter does not apply for telephone lines provided by a respondent for the purpose of enabling an eligible complainant to submit a complaint.

GEN 7.1.6GRP

DISP 1.3 contains rules that apply for telephone lines provided by respondents for the purpose of enabling eligible complainants to submit complaints to a respondent.

Application to firms carrying on credit-related regulated activities

GEN 7.1.7GRP

An effect of GEN 7.1.1R and GEN 7.2.1R is that this chapter applies for contracts by which a firm provides, or agrees to provide, credit broking services. In particular, this chapter applies where a telephone line is operated by a credit broker so that following the entry into a contract for the provision of credit broking services, a customer is able to contact the firm with a view to entering into a credit agreement or a consumer hire agreement.

Related consumer credit rules

GEN 7.1.8GRP

The following provisions of CONC continue to apply where a firm operates a telephone line in respect of the relevant credit-related regulated activities but the call charges rule does not apply (for example, where a telephone line is operated for the purpose of enabling a consumer to contact the firm before a contract has been entered into):

  1. (1)

    CONC 2.5.8R and CONC 2.5.9G (unfair business practices: credit broking);

  2. (2)

    CONC 2.6.3R and CONC 2.6.4G (unfair business practices: debt counselling, debt adjusting and providing credit information services);

  3. (3)

    CONC 3.3.9G (financial promotions and communications);

  4. (4)

    CONC 3.9.5R and CONC 3.9.6G (financial promotions and communications in relation to debt counselling and debt adjusting);

  5. (5)

    CONC 7.9.5R (arrears, default and recovery); and

  6. (6)

    CONC 8.7.6R (charging for debt counselling, debt advice and related services).

Regulated benchmark administrators

GEN 7.1.9R

3This chapter does not apply to telephone lines provided in respect of contracts relating to a firm’s administration of a benchmark.