Whether firms are deciding to become appointed representatives or have received a Minded to Authorise Letter – they are entering the final stage of run up to regulation.
ARs – Time to decide
With the clock ticking down to October 31st firms planning to apply to a network for appointed representative (‘AR’) status should do so without delay, warns the Association of Mortgage Intermediaries. Networks have experienced an increase in the number of applications in recent weeks and those who do not apply promptly risk not receiving a decision in time.
Though the time taken to process an application varies between networks firms can expect to wait at least two weeks for the initial review, with induction and training likely to take around eight weeks in total.
A late rush of applicants will only prolong the wait and firms are encouraged to make their decision now. Firms should also take great care in preparing their applications and ensure all requested documentation is included.
Directly authorised firms – finish planning
There is no grandfathering period for FSA regulation – it starts with full effect on 31st October. Directly Authorised firms must have their systems and controls in place from M-Day – or risk regulatory problems.
Free Guide for New AMI Members
All new intermediary firms joining AMI will receive our latest Guide specifically designed to help intermediary firms move from MCCB to full FSA compliance. This Guide is a step by step solution specifically for intermediaries. Full of practical suggestions, the Guide covers all that intermediaries need to know to get their businesses in shape for the start of the FSA’s regime.
Chris Cummings, Director of AMI, says: “It’s make or break time for prospective ARs. Much has been said about the challenges facing intermediaries this year and it’s vital that firms secure their future by preparing wisely and applying in good time. Making the right decision will be of vital importance to firms’ continued success, and applicants should choose carefully.”
Firms are reminded that from October 31st anyone giving advice without authorisation or AR status from an authorised firm will be committing a criminal offence.
