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FCA/APCC Liaison Meeting

22nd October 2014

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Agenda

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1.00 Connect update and feedback (Gillian Lavabre)

Mortgage Credit Directive (Lucy McClements)

1.30 AIFMD (Susan Tyldesley)

1.45 Consumer Credit: update and feedback from the regional forums (Keith Cooper & Baljit Bhamra)

2.15 Contact Centre: quality controls, professional accreditations, customer satisfaction survey process/results, and common queries (Mark Adams)

2.45 AOB

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Connect update & feedback

Gillian Lavabre

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Second Charge Mortgages, Buy to Let and the Mortgage Credit Directive

Lucy McClements

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MCD implementation

HMT is principally looking to FCA to implement

Will need to make changes to FSMA and secondary legislation, eg Regulated Activities Order (HMT to decide on scope exemptions)

Second charge loans to transfer into mortgage regime with the Directive

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FCA provisional timetable

MCD consultation out now – closes 31 October 2014 (HMT also consulting)

Aim to consult on B2L in early January 2015

Aim to publish final MCD rules in March 2015

Aim to publish final B2L rules early Q2 2015

MCD comes into effect 21 March 2016

There are no transitional arrangements

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Authorisations

Firms will need to apply for mortgage permissions (in addition to other credit permissions they may hold)

We are reviewing the application process with the aim of making it easier for firms to apply for multiple permissions

Timetable is tight as there are no ‘transitionals’ for firms meaning firms must have mortgage permissions to conduct 2C business post 21 March 2016

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Firms

Firms with mortgage permissions will cover 2C so may not need to apply

Firms without mortgage permissions can start preparing by:

Planning now

Looking at the application for first charge home finance providers to get an idea of the documents that need to be supplied

Reviewing current policies and procedures, especially now the consultation paper has been published

Prepare to submit applications in Q2 2015

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Beverley Brewster – 020 7066 0930Technical Specialist

Richard Eager – 020 7066 2492Manager

Contacts

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AIFMD

Susan Tyldesley

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AIFMD Applications

• AIFMD team update

• Applications received by 22/07/14: 1131

• Awaiting determination: 168

• Applications received post 22/07/14: 41

• AIF Schedule “missing data items” exercise

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Consumer Credit

Keith Cooper & Baljit Bhamra

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Customer Contact Centre

Mark Adams

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The Firm Contact Centre

• Covers FSMA and Consumer Credit• In September we answered 13,321 calls and replied to

2,009 pieces of correspondence• Reasons for contact:

FSMA Consumer Credit Correspondence

Fees Authorisation/Registration Handbook

ONA CCI Portal Authorisation/Registration

Authorisation/Registration Fees ONA

Handbook Interim Permission General

Gabriel OFT Gabriel

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Accreditation

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Our approach to quality

• Every Associate is quality monitored • Minimum of 3, maximum of 12 pcm• Scores by:

• Associate• Team• Overall

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Our approach to quality

• September performance:• Calls: 79%• Correspondence: 79%

Understood Issue

Answer Correct

Managed Expectations

Call Control

Communication

+ve Engagement

Correct Answer

Managed Expectations

Key Messages

Communication

+ve Engagement

Calls Emails

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Customer Satisfaction

• Offer IVR and email surveys

• IVR surveys sent: 1,323 • Email surveys sent: 323

• IVR response rate: 73% • Email response rate: 25%

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Customer Satisfaction

• We ask different questions on the IVR and on email

• Use a verbatim rating scale

Calls Emails