Valid from 16/06/2006

Businesses requiring a licence and consequences of not being licensed U.K.

25 Credit information services U.K.

(1) In subsection (1) of section 145 of the 1974 Act (types of ancillary credit business) before paragraph (e) insert—

“(db) the provision of credit information services, or”.

(2) Before subsection (8) of that section insert—

“(7B) A person provides credit information services if—

(a) he takes any steps mentioned in subsection (7C) on behalf of an individual; or

(b) he gives advice to an individual in relation to the taking of any such steps.

(7C) Those steps are steps taken with a view—

(a) to ascertaining whether a credit information agency (other than that person himself if he is one) holds information relevant to the financial standing of an individual;

(b) to ascertaining the contents of such information held by such an agency;

(c) to securing the correction of, the omission of anything from, or the making of any other kind of modification of, such information so held; or

(d) to securing that such an agency which holds such information—

(i) stops holding it; or

(ii) does not provide it to another person.

(7D) In subsection (7C) ‘credit information agency’ means—

(a) a person carrying on a consumer credit business or a consumer hire business;

(b) a person carrying on a business so far as it comprises or relates to credit brokerage, debt-adjusting, debt-counselling, debt-collecting, debt administration or the operation of a credit reference agency;

(c) a person carrying on a business which would be a consumer credit business except that it comprises or relates to consumer credit agreements being, otherwise than by virtue of section 16(5)(a), exempt agreements; or

(d) a person carrying on a business which would be a consumer hire business except that it comprises or relates to consumer hire agreements being, otherwise than by virtue of section 16(6), exempt agreements.”

(3) In section 151 of that Act (advertisements relating to ancillary credit businesses)—

(a) in subsection (2) for “or” substitute “ to ” and after “liquidation of debts” insert “ or to provide credit information services ”;

(b) in subsection (3) for “or debt-counselling” substitute “ , debt-counselling or the provision of credit information services ”;

(c) in subsection (4) after “advertisement” insert “ (other than one for credit information services) ”.

(4) In each of the following provisions of that Act for “or debt-counselling” substitute “ , debt-counselling or the provision of credit information services ”

(a) section 152(1)(application of sections 52 to 54 to ancillary credit businesses);

(b) section 154 (prohibition of canvassing ancillary credit business off trade premises);

(c) section 156 (regulations about agreements entered into for ancillary credit businesses).

(5) In section 189(1) of that Act (definitions) after the definition of “credit brokerage” insert—

“‘credit information services’ has the meaning given by section 145(7B).”