MCOB 8.1 Application
Who?
This chapter applies to a firm in a category listed in column (1) of the table in MCOB 8.1.2 R in accordance with column (2) of that table.
This table belongs to MCOB 8.1.1 R
(1) Category of firm |
(2) Applicable section |
whole chapter except MCOB 8.5 |
|
whole chapter |
|
whole chapter except MCOB 8.5. |
What?
This chapter applies if a firm:
-
(1)
in the course of carrying on a regulated mortgage activity:
- (a)
makes, or anticipates making, a personal recommendation about; or
- (b)
gives, or anticipates giving, personalised information relating to;
the customer:
- (c)
entering into a regulated lifetime mortgage contract; or
- (d)
varying the terms of a regulated lifetime mortgage contract entered into by the customer; or
- (a)
-
(2)
in addition to (1), gives advice or personalised information to the customer on home reversion schemes.
-
(1)
MCOB 4.4 (Initial disclosure requirements) (as modified by MCOB 8) applies only in relation to varying the terms of a regulated lifetime mortgage contract entered into by the customer in any of the following ways:
- (a)
adding or removing a party;
- (b)
taking out a further advance; or
- (c)
switching all or part of the regulated lifetime mortgage contract from one interest rate to another.1
- (a)
-
(2)
Otherwise, this chapter, MCOB 8, applies in relation to any form of variation of a regulated lifetime mortgage contract.
If a firm is an authorised professional firm, MCOB 1.2.10 R (3) has the effect that when the firm conducts non-mainstream regulated activities with a customer, MCOB 4.4 (Initial disclosure requirements) (as modified by MCOB 8) applies. The firm is only required to provide the initial disclosure information in MCOB 8 Annex 1R or MCOB 4 Annex 2R2 section 7 (What to do if you have a complaint) and section 8 (Are we covered by the Financial Services Compensation Scheme (FSCS)?).
2