The Consumer Protection (Regulation of Credit Servicing Firms) Act 2015 amends Part V of the Central Bank Act 1997 in order to introduce a regulatory regime for a new type of entity called a ‘Credit Servicing Firm’.
The Central Bank published a document on the Authorisation Requirements and Standards for Credit Servicing Firms. Part A of the document sets out the authorisation requirements that must be complied with by an applicant seeking authorisation to carry on Credit Servicing. Part B of the document contains a non-exhaustive list of certain other regulatory requirements which apply to Credit Servicing Firms and which Credit Servicing Firms should be aware of in relation to the provision of Credit Servicing.
The Central Bank has also published a Q&A document on credit servicing and an Addendum to the Minimum Competency Code to establish minimum competency standards for persons exercising a controlled function or a pre-approval controlled function in a credit servicing firm. The Central Bank has also published an Addendum to the Code of Conduct on Mortgage Arrears the purpose of which is to make clear that (as automatically arises as a matter of law) firms carrying on the activity of credit servicing, when managing and administering a mortgage loan book, are ‘regulated entities’ for the purposes of the CCMA with respect to that activity.