Supervision Process

General

The supervision process for debt management firms is designed to monitor the effectiveness of the measures adopted by such businesses to comply with the on-going requirements set out in the Authorisation Process and Conduct of Business Requirements applying to debt management firms. View the recent publication on Supervisory Framework – “Our Approach to Supervision”. 

Governance and Systems

Debt management firms must have appropriate corporate governance in place.  Systems and controls must also be in place to mitigate risk and to monitor compliance with internal policies.

Fitness & Probity

A sound and effective fit and proper test is a critical component of the regulatory regime.  To ensure the proper discharge of their responsibilities, it is important that directors and senior managers have the appropriate skillset to manage a firm.

“Fitness” requires that a person appointed as a director or senior manager has the necessary qualifications, skills and experience to perform the duties of that position.  “Probity” requires that a person is honest, fair and ethical.

An Individual Questionnaire ('IQ') should be completed in respect of each director and senior manager. Please note that the Central Bank's Fitness and Probity regime came into effect on 1 December 2011. View further information on the process.

Consumer Protection Code 2025 (the 2025 Code)

Debt management firms are required to comply with the relevant regulations of the Central Bank's Consumer Protection Code, 2025, encompassing Standards for Business Regulations and Consumer Protection Regulations (''the 2025 Code'').  Regulations will apply where relevant to the activity of debt management and will include the regulations relating to the following:

  • Conflicts of interest
  • Personal visits and contact with consumers
  • Provision of information
  • Advertising
  • Errors and complaints resolution
  • Records and compliance

Additional requirements specific to debt management firms are contained in Part 3, Chapter 12 of the 2025 Code (Consumer Protection Regulations 2025), together with  the Standard Financial Statement (SFS) (Schedule 5) and a template of information to be provided to a consumer (Schedule 6) of these Regulations.  

An information booklet for consumers explaining these consumer protections has also been published. 

On-going Prudential Requirements

  • A debt management firm is required to consult with the Central Bank prior to engaging in any new activities or making any amendments to existing activities.
  • A debt management firm must obtain the prior approval of the Central Bank in respect of any proposed change of name.
  • The prior approval of the Central Bank must be sought in respect of any proposed material change of ownership of the debt management firm i.e. proposed changes in direct and indirect qualifying shareholders.
  • A debt management firm must receive the prior approval of the Central Bank before operating from another place of business other than its head office.  Such other place of business may be located within the State only.
  • A debt management firm must notify the Central Bank, at least 14 days in advance, of the proposed closure of another place of business and the reason for such closure.
  • A debt management firm shall notify the Central Bank in advance where it proposes to outsource any important operational function relating to the provision of debt management services.

    Revocation of Authorisation

    If a firm decides that it no longer wishes to act as a debt management firm it must formally request the revocation of its authorisation from the Central Bank.  The request for revocation of authorisation should clearly set out the rationale for seeking that revocation and must include a plan for the orderly wind-down of the business.  The relevant revocation form is available under the Revocations process page.

    Supervisory Process

    Our supervisory process is carried out by a number of different approaches some of which would include:

    • Analysis of various returns submitted to the Central Bank
    • Conducting inspections (may be overview, general or themed)
    • Regular correspondence and engagement with firms under our supervision