The purpose of this section is to provide information to firms considering applying for authorisation as a moneylender. The Central Bank of Ireland (Central Bank) is the competent authority in Ireland for the authorisation and supervision of moneylenders under Section 93 of the Consumer Credit Act, 1995 (as amended) (the CCA).
Each applicant seeking authorisation must satisfy the Central Bank that it can meet the authorisation standards set out in the CCA. In fulfilling its statutory role in this regard, the Central Bank adopts a robust, structured and risk based process that seeks to ensure only those firms that demonstrate compliance with these authorisation requirements are authorised.
The Central Bank seeks to process each application as expeditiously as possible while meeting its obligation to operate a rigorous and effective gatekeeper function. It aims to ensure that the application process is facilitative and accessible from the perspective of applicants and, importantly, that applicants have clarity with regard to the process, its requirements and timelines.
Information on the process for Renewing a Moneylender’s Licence can be found here.
Before Applying for Authorisation (New Applicants)
In advance of submitting an application for authorisation, the firm should satisfy itself that:
Firms are advised to seek legal advice if they are unsure as to whether their proposed activities require authorisation pursuant to the CCA or if they are unsure as to how they should comply with the authorisation requirements set out in the CCA. If, after having received and considered such advice, applicants have any doubt about their status, they are advised to submit an application for authorisation.
Summary of the Key Steps in the Application Process
The firm submits a completed Application Form with supporting documentation;
- The Central Bank assesses whether the application submission contains the key information and documentation required to progress to the assessment phase;
- Where all key information and documentation has been provided, the Central Bank completes an assessment of the application submission and may issue detailed comments and/or seek additional information;
- The applicant is provided with the opportunity to address the comments and requests issued by the Central Bank in a revised application submission(s); and
- The Central Bank will assess the application submission(s) and notify the applicant of its overall assessment and intended decision.
In the sections set out below, the firm will be able to learn about the different stages of the application process in more detail.
Documentation Required to Make an Application for Authorisation
Firms should a fully completed Application for Authorisation as a Moneylender Form including the specific information and documentation requirements set out therein.
Once an application is submitted the firm will also need to ensure that all relevant individuals proposed to hold a Pre-Approved Controlled Function (PCF) role (typically board members, senior management, key function holders) complete Fitness and Probity Individual Questionnaires – more information here. Individual Questionnaires must be submitted electronically via the Central Bank’s Online Reporting System by all relevant individuals. Please note that access to the online Individual Questionnaire only becomes available after an application has been deemed to contain all the key information needed to progress to the assessment phase of the application process. The firm will also need to ensure that it submits a Garda Vetting Form (it should be noted that a Garda Vetting Form is required where the applicant is a Sole Trader or Single Director Company – more information and guidance material on completing the Garda Vetting Form can be found here.
The completed Application Form, along with all relevant accompanying material, should be submitted in both paper and electronic format to the Central Bank. The paper copy should be sent to Moneylending Unit, Consumer Protection: Policy & Authorisations, Central Bank of Ireland, PO Box 559, Dame Street, Dublin 2 and the electronic version can be included with the paper copy or sent by email to email@example.com.
The Key Steps in the Application Process
The various stages of the application process are as follows:
Stage 1 - Acknowledgement
The Central Bank will acknowledge receipt of an Application for Authorisation submitted by the firm within 3 working days of receipt.
Stage 2 - Key Information Check
The Central Bank will then check that the application material submitted contains all the key information and documentation required to proceed to the assessment phase. Within 10 working days of receipt of the application, the Central Bank will either:
I. Advise the firm that the application contains sufficient material to proceed to the assessment phase (further information is likely to be required as part of the assessment phase and may be required thereafter before a decision will be made in respect of the application); or
II. Advise the firm that the application does not contain sufficient material to proceed to the assessment phase and so is not being progressed to that phase. A statement of the omitted information is also provided to assist the firm should it wish to submit another application in the future. Any subsequent application will be considered a new application and the application process commences again.
Stage 3 - Assessment Phase
Where sufficient information has been received, as outlined in Stage 2(I) above, the Central Bank will then proceed to the assessment phase of the application process. The application material submitted will be reviewed against the relevant authorisation requirements to determine whether sufficient information has been provided to reach a determination in respect of the application. The Central Bank will issue initial comments to the firm based on its review of the application material submitted and any subsequent comments based on its review of responses submitted by the firm. The Central Bank has published service standards (see below) in respect of the processing of applications for authorisation and in the context of meeting those standards the service standard timeframe to which the Central Bank has committed for the assessment phase of the application process is 90 working days. However, it should be noted that in the event of further and/or subsequent information being sought, this 90 day ‘clock’ is paused until such information is received by the Central Bank from the firm.
In the event of the firm falling to respond to a request from the Central Bank for further and/or subsequent information after 60 working days the application will not be considered further by the Central Bank (see Guidance Note).
Stage 4 – Notification of Intent
Once the assessment phase has been completed the Central Bank will notify the firm of its overall assessment of the application as follows:
a) Favourable Assessment with Standard Conditions – i.e. the Central Bank proposes to authorise the firm on the basis of the information provided in its application submission, provided specified final items of information and evidence are received (if any), and subject to the standard condition of compliance with the firm’s own terms and conditions being imposed (these terms of conditions being those set out in the firm’s moneylending agreement); or
b) Favourable Assessment with Specific Conditions in addition to Standard Conditions – i.e. the Central Bank proposes to authorise the firm with specific conditions, in addition to the standard condition referred to above, provided specified final items of information and evidence are received (if any). This notification would explain the reasons for these conditions and the firm will be afforded the opportunity to make representations in respect of the proposed conditions; or
c) Unfavourable Assessment – i.e. the Central Bank has not been satisfied such that it could issue a notification under (a) or (b) above. This notification would explain the reasons for this assessment and the firm will be afforded the opportunity to address these concerns and make representations in respect of the unfavourable assessment.
If the firm has any queries in respect of the application process it can contact the Central Bank at firstname.lastname@example.org or use the contact form available here.
Optional Pre-Application Meeting
The Central Bank offers the facility of a single optional pre-application meeting to applicants to answer specific questions about any aspect of the application process and completing the Application Form. Please note that the Central Bank recommends that applicants who wish to avail of this facility have completed their application material to an advanced state before requesting such a meeting and have their specific questions prepared in advance in order to make the meeting as productive as possible. Such meetings will typically be no longer than one hour.
Service Standards and Performance Reports
Please find a link to the Service Standards Performance Reports page here.
The reports set out the Central Bank's performance against Service Standards that it has committed to in respect of (i) Authorisation of Funds, (ii) Authorisation of Financial Service Providers and (iii) Processing of Fitness and Probity applications, on a half-yearly basis.