The specialist arm was launched to aid sale-and-rent-back firms, many of whom have never previously been regulated, deal with the often complex and time-consuming requirements of achieving and maintaining FSA authorisation.
The launch comes amidst a recent flurry of activity in the sale and rent back market as a number of complaints regarding financial promotions activity have been upheld by The Advertising Standards Authority and The Office of Fair Trading.
Compliancy Services warned that all firms operating in the sector should expect to have to meet tough standards of business conduct in order to achieve full authorisation, adding that a good quality compliance support package will go a long way to gaining and maintaining these standards.
Ben Mason, director at Compliancy Services, said the market provided an exciting opportunity for firms operating in or looking towards this sector.
“Inevitably this will involve making some substantial changes to their current business practices for firms who are not fully up-to-speed on FSA requirements. The FSA is likely to insist on a much more transparent sales processes and full disclosure. There are not many detailed rules at present, but firms should not underestimate the FSA’s determination to ensure customers are treated fairly.”
