A financial or e-wallet license is an authorization provided for firms seeking to secure their regulatory licenses. The Financial Conduct Authority are in charge of licensing application and approval. Without the FCA regulation, no firms or financial company can conduct financial activities and make credit available to customers.
Regulated financial activities As specified by the FCA, regulated financial activities include: investment dealings, either buying or selling; investment deals arrangement; investment management; accepting of deposits; asset administration and safekeeping; investment advise; dealings with bonds, government bonds, debentures, loans, etc; insurance contracts dealings, and many other things.
Authorized consumer credit on the other hand are; lending money; selling on credit; collective debts; issuing credit cards; giving advise on debt and credit problems; offering higher purchase terms and conditions; arrangement of credit to consumers, and so on.
A financial provider without an approved financial license will not be able to practice in the finance industry, nor manage finances for clients. Been a very sensitive industry, the finance industry is governed by serious regulations and this is quite likable with the kind of people in the industry. Thus, a financial license is one major credential that a state mad compulsory that financial providers must have.
However, financial profession varies and so does the financial license too. A financial provider must apply for the right licensing that matches the kind of financial services that is been rendered to the public. Every financial providers are compulsorily made to sit for qualifying exams which could be one or more. This is to test their financial knowledge and ascertain if they truly have the skills the industry requires.
Having a financial license or e-wallet license means that you are agreeing to hold true to the law guiding the profession and not go against any of it, nor put your client in loss and jeopardy. You are agreeing to provide fair services and not to take advantage of the money at your disposal or scam your clients.
However, anyone found guilty of any violation of the abiding laws will be stripe of the license. May be taken to court, fined, depending on how serious the offense is. Hence, it is good to be of high standard and hold true to the license one has.
Thus, having a financial license gives financial service providers the right to operate and conduct financial services freely and fairly. FCA licensing is a must have for every finance professional.
Regulated financial activities As specified by the FCA, regulated financial activities include: investment dealings, either buying or selling; investment deals arrangement; investment management; accepting of deposits; asset administration and safekeeping; investment advise; dealings with bonds, government bonds, debentures, loans, etc; insurance contracts dealings, and many other things.
Authorized consumer credit on the other hand are; lending money; selling on credit; collective debts; issuing credit cards; giving advise on debt and credit problems; offering higher purchase terms and conditions; arrangement of credit to consumers, and so on.
A financial provider without an approved financial license will not be able to practice in the finance industry, nor manage finances for clients. Been a very sensitive industry, the finance industry is governed by serious regulations and this is quite likable with the kind of people in the industry. Thus, a financial license is one major credential that a state mad compulsory that financial providers must have.
However, financial profession varies and so does the financial license too. A financial provider must apply for the right licensing that matches the kind of financial services that is been rendered to the public. Every financial providers are compulsorily made to sit for qualifying exams which could be one or more. This is to test their financial knowledge and ascertain if they truly have the skills the industry requires.
Having a financial license or e-wallet license means that you are agreeing to hold true to the law guiding the profession and not go against any of it, nor put your client in loss and jeopardy. You are agreeing to provide fair services and not to take advantage of the money at your disposal or scam your clients.
However, anyone found guilty of any violation of the abiding laws will be stripe of the license. May be taken to court, fined, depending on how serious the offense is. Hence, it is good to be of high standard and hold true to the license one has.
Thus, having a financial license gives financial service providers the right to operate and conduct financial services freely and fairly. FCA licensing is a must have for every finance professional.
About the Author:
Ed Haem is a professional writer with the wide access of the business industry and online banking software. The author has written quite a number of articles on the business industry and internet banking system.