Guernsey's New Consumer Lending Rules

Introduction

This briefing is the second in a series of briefings by Walkers' on the Lending, Credit and Finance (Bailiwick of Guernsey) Law, 2022 (the "LCFL"), and provides an overview of the licensing regime applicable to consumer lending businesses under Part II of the LCFL (a "Part II Licence"). Our first briefing can be found  here.

The Guernsey Financial Services Commission (the "GFSC") has been consulting on  draft rules and guidance applicable to all licensees under the LCFL (the "Rules"). The consultation has now closed and we await the final form of the Rules, which are due by the end of 2022. Key aspects of the Rules applicable to the holder of a Part II Licence, which are not yet final and are subject to change, will also be covered in this briefing.