Apply for a Consumer Credit Licence

How do I apply?

You can apply for your Consumer Credit Licence online or by post. There are also independant companies who advertise on this site who can help you out with your application.

How much does the licence cost?

If you are a sole trader the total cost is £575, made up of:

  • £435- Consumer Credit Licensing Fee
  • £140 – CCJ Levy.

If you are a partnership, company or other organisations the total cost is £1215, made up of:

  • £1075 – Consumer Credit Licensing Fee
  • £140 – CCJ Levy.

Please note that there are different fees for applying for group licence and for validating your agreements.

All fees can be paid online with a credit/debit card but if you want to pay with an alternative method then call the Office of Fair Trading Enquiries team on 08457 22 44 99 or email enquiries@oft.gsi.gov.uk from 9am to 5pm, 7 days a week.

Fit and Proper Person

To get your licence you will need to first prove that you are a ‘fit person’, and this also applies to your employees and your business in general. This avoids ‘loan sharks’ etc and also ensures that only reputable businesses are allowed to give credit. Your application will be assessed on the following criterior:

  • any offence or conviction connected to the business
  • any offence or conviction connected to anyone involved in running the business
  • failure to comply with any of the requirements of the Act or associated regulations
  • failure to comply with the provisions of the Consumer Protection from Unfair Trading Regulations 2008
  • contravention of other consumer protection legislation
  • insolvency, bankruptcy or disqualification as a director
  • failure to comply with any OFT guidance
  • any consumer complaints about the business
  • evidence of business practices that damage, or could damage, the interests of consumers, including irresponsible lending
  • evidence relating to credit competence – whether you or others in your business have the skills, knowledge and experience required to carry out the activities covered by the licence to a reasonable standard
  • any breach of the rules or principles of the Financial Services Authority (FSA)
  • any relevant adverse information from other regulators, professional bodies, trade bodies, consumer organisations or other businesses, including the Financial Ombudsman Service and the Advertising Standards Authority, and any disciplinary action including by a trade association
  • unauthorised use of the OFT name or logo
  • any evidence of discrimination on grounds of sex, colour, race or ethnic or national origin.

What you need for your application

Before starting the application process please have the following available so you can complete it.

  • personal details of people involved in your business
  • details of current or previous licences applied for, or held, by your business and any people involved in your business
  • information on any convictions, County Court Judgements (CCJs) and court orders
  • information on any director disqualifications
  • bankruptcies and insolvency details
  • company administration or liquidation details
  • information on any other disciplinary proceedings.

You may also need to attach the following to your application:

  • written authority to act on behalf of the application
  • approval for trading names and domain names
  • a credit risk profile or a credit competence plan
  • signed declaration form