Michael Noonan (Limerick City, Fine Gael) | Oireachtas source

I move amendment No. 1:

In page 3, to delete line 16 and substitute the following:" "(iiia) a person authorised to carry on the business of a credit servicing firm,".".

These amendments deal with financial service providers that are already regulated. They are largely technical in nature. Our intent was always that an existing regulated financial service provider, authorised to provide credit and already undertaking credit servicing, would not be required to apply for additional authorisation as a credit servicing firm. These firms have been through the authorisation process and we do not want to impose an additional regulatory burden on them. We now propose, through amendment No. 10, that such firms be deemed or taken to be authorised as credit servicing firms rather than being excluded from the definition of credit servicing firms. The amendment will achieve that aim. The other amendments follow from this change in approach.

The changes will also ensure firms servicing credit for the newly authorised, or taken to be authorised, credit servicing firms will be treated equally in respect of that activity. In addition, if the Central Bank wishes to impose conditions on credit servicing firms, there will be a single cohort available to them.

In summary, the original Bill excluded from the definition of credit servicing existing regulated financial service providers authorised to provide credit. We have, however, changed the wording in order that these firms will now be taken to be authorised as credit servicing firms and will not need to seek additional authorisation for this activity.