Law (2014:275) In Respect Of A Business Of Consumer Credit

Original Language Title: Lag (2014:275) om viss verksamhet med konsumentkrediter

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Read the untranslated law here: http://rkrattsbaser.gov.se/sfst?bet=2014:275

The scope of the law



paragraph 1 of this law provides for certain professional

the business of consumer credit that is to leave or

pass on credit to consumers.



The law does not apply to the business of consumer credit that is powered

licensed under the regulations.



section 2 of this Act also applies to foreign business operations

with consumer credit in Sweden. For activities through branch

terms in other respects the Act (1992:160) of foreign branches, etc.



Measures against money laundering and the financing of terrorism



paragraph 3 of the Provisions on the obligation for companies that operate

the business of consumer credit to help

prevent money laundering and the financing of terrorism, see

law (2009:62) on measures against money laundering and the financing

of terrorism.



Obtain a permit



4 § to pursuit of the business of consumer credit under

This law required the permission of the financial supervision authority. Condition

may be granted only to a Swedish limited liability company, a Swedish

Economic Association or equivalent foreign company.



Exemption from permit requirement



paragraph 5 of the Licence under this Act is not required for



1. undertakings authorised in accordance with



(a)) Act (2004:297) on banking and finance law,



(b)) code (2010:751) on payment services, or



c) Act (2011:755) on electronic money,



2. the undertakings referred to in Chapter 2. 3 paragraph 2 – 7 the law on

banking and finance law,



3. State and municipal authorities;



4. legal persons operating with

consumer credit and to a lesser extent for non-commercial purposes.



The derogations referred to in the first subparagraph shall also apply to the corresponding

foreign companies and foreign governmental, municipal and other

public authorities.



Conditions for authorisation



section 6 Authorization for activities under this Act shall be a

Swedish limited liability company or a Swedish economic association, if



1. the articles of association or by-laws not inconsistent with this Act

or any other Constitution,



2. There is reason to believe that the planned activities

will be operated in accordance with this law and other

regulations governing the company's activities,



3. the person having or likely to have a

qualifying holding in the company is deemed appropriate to exercise

a significant influence over the management of the company, and



4. to be included in the Board of directors or be

Executive Director, or be replacements for any of

them, have sufficient knowledge and experience to participate in

Management nor otherwise is suitable for such a

task.



With qualifying holding shall mean a direct or

indirect holding in an undertaking if the holding, calculated on the

as explained in Chapter 1. 5 a § Act (2004:297) on banking and

finance law, represent 10% or more of

capital or of the voting rights or otherwise allows a

significant influence over the management of the company.



section 7 of the assessment referred to in section 6 3 of if the holder is

appropriate to the holder's reputation must be taken into account. It should also

be taken into account if there is reason to believe that



1. the holder will counter that the company's activities

operated in a manner consistent with the requirements of this Act and

regulations governing the company's activities, or



2. the holding in connection with or may increase the risk of



a) money-laundering referred to in Chapter 1. paragraph 5 of the 6 teams (2009:62) if

measures against money laundering and the financing of terrorism,

or



b) offence under section 2 (2), (3) or section 4 § lagen (2002:444) if

punishment for the financing of particularly serious crime in

some cases, with respect to offences under section 2 of the Act (SFS 2003:148) if

the penalties for terrorist offences.



If your company has or likely to get near

relations with anyone else, getting permission is granted only if the

relations do not prevent the effective exercise of their supervisory functions by

the company.



section 8 a foreign company may be authorised to drive

activities under this Act from the branch in Sweden. Condition

should be provided, if



1. the company operates corresponding activities in the country in which the

has its registered office,



2. the company is subject to prudential supervision by the competent

authority of the country in which it has its registered office and the

the authority has admitted that the company establishes itself in

Sweden, and



3. There is reason to believe that business here in the country

will be operated in accordance with this law and other

regulations governing the company's activities.



section 9, a Swedish company that operates under this

law may, where authorized by the Swedish financial supervisory authority set up branch

in another country. Such authorisation will be granted if there is

reason to believe that the planned activities will

operate in accordance with this Act and the regulations

governing the company's activities.



Ownership changes



section 10 of the rules on ownership review of credit institutions in 14

Cape. Act (2004:297) on banking and finance law should

also apply to companies operating under this

team.



Approval of the articles of association or by-laws



section 11 of the company's articles of association or statutes shall be approved in

When it is authorized to carry on business in accordance with

This law.



A company that decided to amend their articles of association or

its statutes shall apply for approval of the change.

The change shall be approved if the articles of association or statutes

is not contrary to this law, regulations and administrative provisions of

impact on operations and in General contains the

specific provisions are needed to take account of

the extent and nature of the business.



A decision amending the articles or bylaws shall not

be registered before it is approved.



Soundness



section 12 of a company operating under this Act shall

drive it in a way that's healthy.



Professional secrecy



13 § individuals ' conditions to a company that operates

activities under this Act shall not unduly disclosed.



In the public activities should apply instead of the provisions

in publicity and secrecy (2009:400).



Liability under Chapter 20. paragraph 3 of the criminal code should not follow the

in breach of the prohibition laid down in the first subparagraph.



In 5 a § credit information Act (1973:1173) provides

that what is true of professional secrecy referred to in the first subparagraph

does not prevent the information in some cases are exchanged for

credit reporting purposes.



Commission agreements



section 14 of The companies operating under this Act may

instruct anyone to carry out a specific work or some

operational features that are included in this activity. Company

shall notify such contract to the Swedish financial supervisory authority.



Assignment for someone else to perform such functions as are of

essential for the business may be granted only if

the company is responsible for



1. the business operated by the contractor under controlled

and safely secure forms, and



2. the mission does not significantly impair the quality of the

the company's internal control and financial supervision

opportunities to ensure that the company follows the rules

applies to it.



Registry



section 15, the financial supervision authority shall maintain a register of companies

authorised to carry on business under this Act.



Supervision



section 16 of the financial supervision authority has oversight over companies that operate

activities under this Act. Supervision includes

the company's business is conducted in accordance with



1. this law,



2. regulations governing operations,



3. the company's articles of association or by-laws, and



4. the company's internal instructions based on

regulations governing business.



The Swedish financial supervisory authority does not include

konsumentkredit Act (2010:1846).



Information from surveys of a company

operating under this Act



section 17 of a company operating under this Act shall

provide the financial supervision authority the information on their activities

and related circumstances that the inspection

request.



The financial supervision authority may, when the inspection is of the opinion that it is

necessary, conduct a study of a company

operating under this law.



Information from investigations of other companies



section 18 Of the companies operating under this Act

is a member of a group, to the other companies of the Group provide

The financial supervision authority the information on their activities and

related circumstances that the inspection needs

for his supervision of the company.



section 19 Has a company been commissioned by a company driver

activities under this Act to carry out a specific work or

Some functions, should the company leave the Swedish financial supervisory authority the

information on their activities and related

circumstances that the inspection request.



The financial supervision authority may conduct surveys of a

such a company, if necessary for the supervision of the company

operating under this law.



Action against companies operating under this

law



section 20 if a company fails to discharge its obligations under

This Act, the regulations governing the company's

activities, articles of incorporation, bylaws or internal

instructions based on a Constitution that regulates

activities, the financial supervision authority Act.



The Swedish financial supervisory authority will then issue an order within the

certain time limit operations, reduce risk in the or

take any other action to tackle

situation, a prohibition to execute decision or a

Note. If the infringement is serious to the company's

authorisation is withdrawn or, if it is enough, warning

will be notified.



The financial supervision authority may refrain from action if a

infringement is insignificant or pardoned, if the company does

correction or if any other authority has taken steps

against the company and these measures are considered sufficient.



section 21 Of someone who is part of the Board of Directors of a company which operates

activities under this Act, or is its Executive

Director, does not meet the requirements set out in section 6 of 4,

The Swedish financial supervisory authority to revoke the company's licence. It may


However, only take place if the inspection first decided to point out that

the person is a member of the Board of directors or Executive Director

and if he or she, since one of the inspection, fixed period if

no more than three months have passed, still included in the Board of Directors

or is the Executive Director.



Rather than withdraw the authorization, may

The financial supervision authority may decide that a Board member or

Executive Director may no longer be there. the inspection

may then appoint a replacement. Long mission comes to

the company has appointed a new Member of the Board of directors or

Executive Director.



It provided for the Chief Executive Officer of first and second

paragraphs also applies to a Deputy or substitute for

Executive Director.



section 22 of the Swedish financial supervisory authority to revoke the licence of a

companies operating under this Act, if the entity



1. have received authorization by submitting incorrect information

or by any other wrongful means,



2. not within one year of the authorization was granted have begun

drive the activities permit relates,



3. for a continuous period of six months has not pushed

such activities as the authorization applies;



4. have declared that they refrain from the State,



5. has transferred all its activities, or



6. has been declared bankrupt or if the decision has been taken to

the company should go into compulsory liquidation.



In the cases referred to in the first subparagraph 1 – 3, instead warning

be notified, if it's enough.



If the consumer has made a decision under section 51

konsumentkredit Act (2010:1846) to submit to a company

to cease to provide loans and the decision has won

the force of law, the financial supervision authority may revoke the licence for

the company.



section 23 Of the permit is withdrawn, the financial supervisory authority

decide on the liquidation of operations under this Act

to occur.



A withdrawal decision may be subject to prohibition

stay in business.



Intervention against the which does not have permission



section 24 If any operating under this law without

be eligible for it, to the financial supervision authority shall submit to the

him to cease operations. The inspection may decide

how the decommissioning of operations to occur.



The financial supervision authority may submit to the operator of the activity

to provide information on the activities that the inspection

need to assess whether the law applicable to a given

activity.



Penalty fee



section 25 Of the companies operating under this Act

have received notice or warning in accordance with section 20, the

The financial supervision authority may decide that the company should pay a

sanction fee.



Levy belongs to the State.



section 26 of the Sanctioning fee must amount to not less than 5 000 kroons and

not more than SEK 50 million. The fee shall not exceed ten

per cent of turnover the last

fiscal year.



If the infringement has taken place during the company's first

year of operation or if the data on the turnover otherwise

missing or inadequate, the turnover is estimated.



For a company that also runs other than the

licensed under this Act to the turnover in

the first subparagraph shall refer to only the business with

consumer credit.



27 § When sanctioning fee is decided upon, the Special

taking into account the gravity of the infringement is that

led note or warning and how long

infringement has been going on.



Late fee



section 28 where a firm is not in time leaves the information it

is required to file pursuant to regulations issued by

support of 34 § 3, the financial supervision authority may decide that the company

shall pay a late fee of up to 100 000 kroons.



Levy belongs to the State.



Enforcement of penalty fee and late fee



section 29 Sanction fees or fines to be paid

to the financial supervision authority within thirty days of the

the decision to withdraw the charge has become final or the

the longer period of time as specified in the decision.



section 30 of the financial supervision authority decision on sanction or

late charge may be enforced under the enforcement of the beam

provisions, if the fee has not been paid within the time limit set by

set out in section 29.



If sanction fee or penalty fee is not paid in

time, the financial supervision authority shall submit the unpaid fee for

recovery. Provisions on recovery of State assets

see Act (1993:891) for recovery of State assets

accommodation



section 31 A penalty fee or late charge falls away in

the extent to which the enforcement has not happened within five years

from the decision to levy the charge won the final.



VITE



32 § FSA injunction or prohibition under

This law may be subject to a penalty.



Contributions to the financial supervision authority



33 § Companies operating under this Act shall

pay for FSA activities under this Act with

annual fees.



The financial supervision authority may charge fees for the examination of

applications and notifications under this law.



Appropriations



34 § Government or authority the Government determines

may provide for



1. what content one application to operate

under this Act shall have,



2. how the requirement of health referred to in section 12 can be fulfilled,



3. what information a company operating

under this Act shall submit to the financial supervision authority of its

regulatory activities pursuant to §§ 17 and 18, and



4. the fees referred to in section 33.



Appeal



35 § finansinspektionen's decision pursuant to section 24 of the second subparagraph

not subject to appeal.



FSA decision otherwise under this law may

be appealed to the General Administrative Court. However, this does

No decision in the cases referred to in paragraph 5

Administrative Procedure Act (1986:223).



Leave to appeal is required in the case of appeal to the

the Administrative Court of appeal.



The financial supervision authority may provide that a decision

If prohibition, injunction or withdrawal shall apply

immediately.



Övergångsbestämmlser



2014:275



1. This law shall enter into force on 1 July 2014.



2. Any natural or legal person who at the time of

the entry into force of the Act leaves the consumer credits under Chapter 7.

1 paragraph 2 Act (2004:297) on banking and

finance law as other financial activities in accordance with

Act (1996:1006) concerning the reporting obligation for specific financial

activities may continue to run the business according to older

provisions by 1 January 2015 without permission

or, if the application for a permit to the Swedish financial supervisory authority has

been received within this time, until the application has been examined

final.



3. A fee as referred to in section 25 shall be applied only to

violations which have occurred after the entry into force.