Outside the regime, not exempt from it.
Credicorp Limited lends only to UK limited companies and LLPs. This page explains why that lending sits outside the FCA's consumer-credit regime, what statutory framework actually governs it, and what that means for a borrower in practical terms.
Article 60B, in plain English
UK consumer-credit regulation is set by the Financial Services and Markets Act 2000 — and, specifically, by Article 60B of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (SI 2001/544).
Article 60B(1) says that "entering into a regulated credit agreement as lender is a specified kind of activity". A specified activity is a regulated activity, which means the lender must be authorised by the Financial Conduct Authority to carry it out lawfully.
The phrase that does the work is "regulated credit agreement", and Article 60B(3) defines a "credit agreement" as:
an agreement between an individual or relevant recipient of credit ("A") and any other person ("B") under which B provides A with credit of any amount.
If the borrower (A) is neither an "individual" nor a "relevant recipient of credit", there is no "credit agreement" for Article 60B purposes — and therefore no regulated activity at all.
Article 60L of the same Order defines "relevant recipient of credit" as a small mixed partnership or unincorporated body — and explicitly excludes bodies corporate. "Individual" carries its ordinary, natural-person meaning.
Why a UK limited company or LLP is outside the regime
A UK private limited company is a body corporate by virtue of section 16 of the Companies Act 2006 (incorporation confers separate legal personality). A limited liability partnership is a body corporate by virtue of section 1 of the Limited Liability Partnerships Act 2000.
Neither is an "individual", and Article 60L explicitly excludes bodies corporate from "relevant recipient of credit".
So when Credicorp Limited lends to a UK limited company or LLP, the agreement it enters into is not a credit agreement within Article 60B — not because it is exempt under Articles 60C to 60H, but because the borrower's status means it falls outside the definition of a credit agreement in the first place. Outside, not exempt.
Financial promotions
Section 21 of the Financial Services and Markets Act 2000 prohibits financial promotions, in the course of business, of "investment activity", unless made by an authorised person or with an authorised person's approval. For credit, "investment activity" runs through the controlled-activity at paragraph 10BA of Schedule 1 to the Financial Promotion Order 2005: "entering into a relevant credit agreement … as lender".
"Relevant credit agreement" mirrors the Article 60B test. So financial promotions of body-corporate lending — which is not a relevant credit agreement — sit outside the s.21 perimeter too.
What this means for borrowers
In practical terms, a Credicorp loan to a UK limited company or LLP is unregulated business credit. That has three consequences a borrower should know about:
- No FCA authorisation is required for the lender to make the loan. Credicorp Limited is not authorised by the Financial Conduct Authority and does not need to be.
- The Financial Ombudsman Service does not cover the loan. FOS jurisdiction follows regulated activities. Complaints about a Credicorp business loan go through the operator's internal complaints process at credicorp.co.uk, and ultimately to the courts.
- The Financial Services Compensation Scheme does not cover the loan. FSCS coverage is for failure of authorised firms.
This is not a gap or a loophole — it is how Parliament wrote the statute. The Consumer Credit Act 1974 and the consumer-credit provisions of FSMA exist to protect individuals when they borrow. A limited company is a separate legal person with its own balance sheet and its own credit standing, and Parliament has not extended the same statutory protections to body-corporate borrowing.
Frequently asked questions
Are you FCA-regulated?
No. Credicorp Limited is not authorised by the Financial Conduct Authority for consumer credit lending, and is not required to be authorised in order to lend to UK limited companies and LLPs. Lending to a body corporate is outside the FCA's consumer-credit regime.
Is a Credicorp loan covered by the Financial Ombudsman Service?
No. FOS jurisdiction follows regulated activities. Credicorp's business lending is not a regulated activity, so the FOS does not have jurisdiction over complaints about it. The operator runs an internal complaints process at credicorp.co.uk; unresolved disputes ultimately go to the courts.
Is a Credicorp loan covered by the Financial Services Compensation Scheme?
No. FSCS protection is for failure of authorised firms. Body-corporate lending sits outside the regulated perimeter, so FSCS does not apply.
Does the Consumer Credit Act 1974 apply?
No. The CCA 1974 governs credit agreements with individuals and small non-corporate partnerships. A UK limited company or LLP is not an individual and not a non-corporate partnership.
What if I am a sole trader, not a limited company?
Credicorp does not lend to sole traders or individuals. See the eligibility section at credicorp.co.uk/business-loans for full criteria.
Verifiable sources
- Article 60B FSMA RAO 2001 — the test.
- Article 60L FSMA RAO 2001 — the "relevant recipient of credit" definition.
- Section 21 FSMA 2000 — the financial-promotions restriction.
- Schedule 1, Financial Promotion Order 2005 — the list of controlled activities.
- Companies Act 2006 s.16 — incorporation confers separate legal personality.
- Limited Liability Partnerships Act 2000 s.1 — an LLP is a body corporate.
Related reading on credicorp.co.uk
The operator publishes a set of support articles that go deeper on the regulatory position.
- Regulated vs. unregulated business loans — the operator's longer-form explainer of the same Article 60B point.
- What is a body corporate? — the borrower-status test in plain language, with the Companies Act and LLP Act citations.
- What the FOS and FSCS cover — what these protections do and do not cover, and why neither applies here.
- What is a personal guarantee? — and why Credicorp does not take one.
- What an FCA reference number means — and what its absence at Credicorp signals.
- Responsible lending — the operator's own responsible-lending position.
- Feedback and complaints — the operator's internal complaints process (the route in place of FOS).
- Transparency reporting — voluntary quarterly figures on applications, approvals and outcomes.
What this brand site does not do
This page explains the lending position; it is not a loan. The brand site does not take applications, price loans, or accept payments. The active service is at credicorp.co.uk/business-loans.