The Financial Services and Markets Authority (FSMA) is a public interest body that regulates the Belgian financial sector. As part of its mission, it notably oversees financial service providers and intermediaries. Our legal expert examines the scope of this new competence.
New FSMA Competence
Since November 1, 2015, the control over access to the profession of lender and intermediary in mortgage credit and consumer credit will no longer be the responsibility of the SPF Economy but of the FSMA.
This will have no impact on consumers as existing contracts will not be modified in any way. However, the targeted professionals will be required to apply for approval or registration with the FSMA.
To do so, the concerned professionals can submit their approval or registration application through an online application since Monday, November 2, 2015.
The FSMA has already clarified that this is the only valid channel for submitting an application. In order to obtain approval, professionals must meet various conditions, such as having a capital of €25,000 or €2,500,000 depending on whether it concerns a consumer credit contract, a mortgage credit, or a credit opening.
However, the SPF Economy retains the competence to examine credit contract templates, including amortization schedules, to ensure compliance with all legal provisions.
Any modification to the contract templates is also subject to prior approval by the SPF Economy. To obtain registration, professionals must meet various conditions, such as having professional liability insurance, having professional integrity, and adhering to an extrajudicial settlement scheme.
Current lenders and credit intermediaries benefit from a transitional period of 18 months to submit their application for approval or registration.
Sanctions
The FSMA has a wide range of coercive measures against the professionals it oversees, including issuing a public warning.
It can also impose various corrective measures and conduct anonymous inspections.
Finally, it can take administrative measures such as revoking approval or removing from the registry, as well as imposing fines or penalties.
