Regulatory position

Credicorp Limited lends to UK incorporated bodies corporate: limited companies, limited liability partnerships and similar entities borrowing for business purposes. The borrower is the company, not the director personally, and the company's standard products do not involve director personal guarantees.

Article 60B of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 defines a regulated credit agreement by reference to the borrower. Credit provided to an individual, or to certain small partnerships and unincorporated associations, can be regulated credit. Credit provided to a body corporate is outside that definition.

Because its borrowers are incorporated companies, Credicorp Limited's lending sits outside Article 60B. The estate states this position directly and avoids the looser phrase 'Consumer Credit Act exemption', which describes a different mechanism.

The lending is therefore not consumer credit and the consumer-credit routes to the Financial Ombudsman Service do not apply to it. The lender publishes its complaints route regardless, and complaints go to [email protected].

Independently of regulation, the published product terms include a voluntary cap of 100% on the total cost of borrowing: however long a facility runs, the customer is not asked to repay more than twice the amount borrowed.