If you are someone deeply involved in financial technology, you probably already know what fintech is, and why you need its compliance authorisation, but if you’re not one of those folks, you might not really understand it at all. Well, if that’s the case, you shouldn’t worry, because we are going to explain it all to you in simple words, meaning that after this, you’ll understand it all, and realize why it’s so important.
First things first, let’s explain to people what fintech really is. Basically, it’s any kind of company that deals with financial services and uses technology to achieve its goals. This technology may be used for the design of a product, or for delivering the product to the customer. Some companies just use the technology to enhance the users’ experience. So, if it’s a financial company that completes its works with the use of technology – it’s fintech!
Now that we know what fintech is, it couldn’t hurt learning what a fintech compliance is. Fintech compliance’s post is really important, and not everyone can do that work. This compliance needs to be fully involved in the financial service compliance process; and not only that, they need to have full knowledge of this and a lot of expertise in this field, as well as in the fields of financial service regulation and governance. Fintech compliance need to know exactly how each of the before mentioned areas could influence and relate to a fintech authorisation firm. Of course, this job couldn’t be done without consultants, and all of these consultants have experience in various fields of financial work.
All right, we’ve got that out of the way, but many people are still wondering why they need fintech compliance authorisation? Well, if you are a person wishing to conduct legal activities in the United Kingdom, you need to be authorised, that’s just how things are. Therefore, this is something you’ll have to do, and it is being done the following way: the company wishing to get the authorisation will first need to establish their list of activities, clients list, as well as the instruments list, and then in the form of appropriate documentation, submit it. It usually takes about one month for the documentation to be inspected by someone like Pragmatic Compliance, and after that, there is a period of six months during which any query that arose during this process could be resolved. After that, the final approval is being given, and then, the company is officially authorised!
Now, some companies seem to have some trouble with this, and especially with the fact that they are having hard time fulfilling all of the compliance requirements set before them. If such a thing would happen to you and your company, the best course of action would be getting in touch with your authorisation company in order to see what the exact requirements you need to fulfil are; this will allow you to understand them better, and finally fulfil them the proper way and in the quickest manner.