Hitachi Capital - Intermediary Risk

  • Posted on: 14 February 2018

Through our unique partnership approach, and award winning Compliance Select product, Compliancy Services provide FCA support to Hitachi Capital Business Finance’s (HCBF) broker network, reducing the compliance burden for brokers and the regulatory risk for HCBF.

Hitachi Capital Business Finance has been an ever present force in the UK’s financial services sector for over 30 years.  Today is has over 1,200 employees, providing market leading products and services to over one million customers.  Hitachi Capital Business Finance is a division of Hitachi Capital, providing a wide range of asset finance solutions to brokers and vendors, and enjoys an enviable market reputation for service and quality.

Hitachi Capital  Business Finance and Compliancy Services

When the FCA took over the regulation of consumer credit, HCBF recognised the challenges that would present to brokers not used to working in a regulated industry.  HCBF looked at the market and the professional support available and concluded Compliancy Services Ltd would represent the ideal partner, through the ‘Compliance Select’ product.

HCBF and Compliancy Services developed a programme of activities to support brokers manage their FCA compliance.  Six months of compliance support was provided FOC for all HCBF brokers, providing the tools and expertise needed to implement the required compliance controls to meet FCA standards, and to gain authorisation from the FCA.  A series of workshops were held for the brokers, to demonstrate the practical compliance support tools available to them, and explain changes they might need to make to run their businesses compliantly going forward. 

The services provided to HCBF’s brokers include assistance with FCA authorisation, FCA compliance e-learning, compliance helpdesk support, assistance with regulatory returns, an online compliance management system (providing a compliance plan, reminders, guidance on how to carry out key monitoring tasks, regulatory updates etc.) and help with difficult regulatory issues such as complaints management.

Results

Recognising that managing FCA compliance is an ongoing requirement for FCA authorised firms, over 85% of brokers that participated in the pilot still retain an ongoing support contract with Compliancy Services.  Follow-up seminars have been held and further events and support programmes are now being jointly developed to maintain the momentum developed.

Gavin Wraith-Carter, CEO of HCBF, said “we wanted to find a professional partner that represented our brand values and would offer a value added and differentiated support for our brokers.

We were delighted to find Compliancy Services, and could see the significant development effort they had put into their Compliance Select product, and how that resonated with our own brand values.  The feedback from our brokers has been fantastic, and we look forward to further supporting brokers FCA compliance going forward, to both reduce our own regulatory risk and assist them manage their compliance obligations efficiently.” 

Ben Mason, CEO of Compliancy Services, said “FCA compliance can often be an onerous task for brokers, particularly if they are not used to working in a regulated environment.  This means that it is often ignored, putting the funder, broker and client at risk, or it becomes overly onerous and impacts broker’s ability to focus on running their business efficiently. 

We are delighted to have partnered with HCBF and provided Compliance Select to over 80% of their brokers.  The reception from brokers has been incredibly positive and we look forward to working with HCBF and their brokers in the future to reduce their compliance burden.”

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