Context
On 11th December 2020 the FCA imposed various requirements on PCRL through a Supervisory Notice. PCRL was required to immediately cease carrying out regulated business which includes arranging insurance contracts.
Key points to note
- There are serious concerns that PCRL appears to have made an application for a loan in the name of one of its consumers without having authority to do so and without making arrangements for the consumer to receive the benefit of loan funds. Since the consumer did not receive the benefit of the loan funds, it is inferred that PCRL benefitted from receipt of the loan funds and thus appears to have acted dishonestly.
- For this reason the FCA believes that without these requirements there is a risk that PCRL will continue to act in a dishonest manner which could result in harm to consumers.
- A Second Supervisory Notice was imposed on 26th January 2021.
- PCRL remains under the same requirements which have been in place since 11th December 2020.
- The FCA also issued a first alert on 11th December 2020 to advise consumers of the requirements imposed on PCRL. This second alert is to ensure that consumers are aware of these requirements.
Next actions
If you place or accept business with, or have accepted business from, this firm you should consider the implications of the details of this consumer warning.