B3 Flashcards
What is the financial conduct authority?
The FCA is an independent organisation which is there to regulate the actions of providers of financial services.
What are the 3 key areas of FCA?
- Authorisation
- Supervision
- Enforcement
What does authorisation mean?
This is giving permission to financial service providers to trade.
What does supervision mean?
Ensuring that the financial services providers carry out procedures and practices that are in the interest of the consumers that they serve.
What does enforcement mean?
The FCA use powers to ensure that the standards are kept to and maintained.
What is the financial ombudsman service?
The FOS is an organisation that is appointed by the government to look after the interest of the consumer when there are disputes with financial service providers.
When do the FOS get involved?
The FOS only get involved when the two parties just can’t sort out the dispute.
What does FSCS mean?
The Financial Services Compensation Scheme.
What do the FSCS do?
The FSCS protects all savers in banks and building societies up to £5000. So if they go bankrupt the saving will be refunded by the FSCS.
What does OFT mean?
Office of Fair Trading
What do the OFT do?
Was established to regulate all markets, including the financial markets.
What does consumer credit mean?
Any firm offering credit to consumers have to be registered with the FCA.
