jlend
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Post by jlend on Aug 17, 2018 9:23:31 GMT
As a result of the setup i assume, their complaints process doesnt have any recourse to the FOS reading the wording on tne website.
The FOS is not perfect, but does provide a way of escalting issues should they occur in the future
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michaelc
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Post by michaelc on Aug 17, 2018 12:44:14 GMT
As such, the company does not need the permission "holding client money" nor "electronic Peer to Peer" in order to trade in unregulated Bridging loans. That being said, we like to do things correctly with proper governance... For me this is what goes to the heart of the issue. Why does the type of loan being made affect the requirement for "holding client money"? Perhaps this is a question for the FCA but I'm sure BC would allay a lot of doubt if they simply obtained that permission. Is the issue cost? Given how many tin pot companies there are now springing up with such permission presumably its not such a big deal? Ditto the "electronic P2P" permission.
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Greenwood2
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Post by Greenwood2 on Aug 17, 2018 14:04:47 GMT
I'm not sure they can be regulated for something that does not require regulation. But I think they are saying they follow the same requirements that regulated companies do. I seem to remember when Zopa was asking to be regulated they couldn't be because P2P did not require regulation at that time. A bit catch 22.
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michaelc
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Post by michaelc on Aug 17, 2018 14:11:00 GMT
I'm not sure they can be regulated for something that does not require regulation. But I think they are saying they follow the same requirements that regulated companies do. I seem to remember when Zopa was asking to be regulated they couldn't be because P2P did not require regulation at that time. A bit catch 22. So they are holding client money but can't be regulated for it? And they are running an online platform (whether or not there an additional manual step) and they can't be regulated for that either?
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Greenwood2
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Post by Greenwood2 on Aug 17, 2018 15:40:23 GMT
When were rules logical?
From what Louis said it seems that Bridgecrowd are moving into other offerings (soon?) which will bring them into the regulations, so that should fix the anomalies. Client money is currently held in segregated bank accounts so I'm pretty comfortable with that and most funds (mine anyway) are lent out.
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Post by adama on Dec 1, 2019 9:33:42 GMT
When were rules logical? From what Louis said it seems that Bridgecrowd are moving into other offerings (soon?) which will bring them into the regulations, so that should fix the anomalies. Client money is currently held in segregated bank accounts so I'm pretty comfortable with that and most funds (mine anyway) are lent out.
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