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Is your credit business high risk?

If the activities your business undertakes are considered high risk you will need to provide evidence of your credit competence with your licence application. You may also be subject to an on-site visit by officers from your local authority Trading Standards Service or the OFT, to verify your evidence.

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What is credit competence?

Credit competence means your business is able to comply with all relevant legislation and with generally accepted standards of business practice. For more information see our range of guidance documents.

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What are high-risk activities?

The following licence categories are considered high-risk:

  • D - debt adjusting (if you or an associate charge for any credit activities)
  • E - debt counselling (if you or an associate charge for any credit activities)
  • F - debt collection
  • H1 - credit information services (including credit repair).

If you are applying for these categories you will have to complete a CCP1 - credit competence plan form (pdf 295kb), which must be submitted with your application form.

Businesses applying to undertake some credit activities are also required to fill in a credit risk profile form. If you are applying for a Category I licence, or if you are applying for Category A, C, G licence and you are supplying:

  • secured/sub-prime lending
  • secured/sub-prime broking 
  • secured/sub-prime debt administration 
  • lending and broking in the home 
  • credit reference agency

you have to complete a CRP1 credit risk profile form (pdf 200kb), which must be submitted with your application form.

For more information view Do you need a credit licence? (pdf 147kb).

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Forms that must be submitted with your application

The CCP1 and CRP1 forms can be completed electronically and uploaded with your online application. 

Alternatively, they can be printed and posted to us at: Consumer Credit Licensing, PO Box 62691, London, EC4P 4UW or emailed to ccl@oft.gsi.gov.uk.

If you cannot use these forms, please email enquiries@oft.gsi.gov.uk or call 08457 22 44 99.




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