PART II SPECIFIED ACTIVITIES

F1Chapter 14ARegulated Credit Agreements

The activities

Exempt agreements: exemptions relating to the nature of the borrower60H.

F2 (1)

F3Subject to article 60HA, a credit agreement is an exempt agreement for the purposes of this Chapter if—

(a)

the borrower is an individual,

(b)

the agreement is either—

(i)

secured on land, or

F4(ii)

for credit which exceeds £60,260 and F5, if entered into on or after 21st March 2016, is for a purpose other than—

(aa)

the renovation of residential property, or

(bb)

to acquire or retain property rights in land or in an existing or projected building,

(c)

the agreement includes a declaration made by the borrower which provides that the borrower agrees to forgo the protection and remedies that would be available to the borrower if the agreement were a regulated credit agreement and which complies with rules made by the FCA for the purposes of this paragraph,

(d)

a statement has been made in relation to the income or assets of the borrower which complies with rules made by the FCA for the purposes of this paragraph,

(e)

the connection between the statement and the agreement complies with any rules made by the FCA for the purposes of this paragraph (including as to the period of time between the making of the statement and the agreement being entered into), and

(f)

a copy of the statement was provided to the lender before the agreement was entered into.

F6(2)

Where a credit agreement would be an exempt agreement pursuant to this article but for paragraph (1)(b)(ii)(bb) or article 60HA, the FCA may treat the agreement as an exempt agreement except for the purpose of the application of the requirements of the mortgages directive.