qualifying credit

qualifying credit
For the purposes of the Financial Services and Markets Act 2000 (FSMA), credit provided pursuant to an agreement under which:
• The lender is a person who carries on the regulated activity of entering into, administering, advising on or arranging a regulated mortgage contract; and
• The obligation of the borrower to repay is secured (in whole or in part) on land.
For these purposes, "credit" includes a cash loan and any other form of financial accommodation.
Providing, arranging or advising on qualified credit is a controlled activity for the purposes of FSMA.
For further information, see the Financial Services Authority website.
Related links

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

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