The Financial Conduct Authority’s (FCA’s) warning letter to e-money firms about their failings has been seen as a reaction to Wirecard’s collapse.
Rahman Ravelli’s Nicola Sharp was asked to for her opinions on the situation for an article for Thomson Reuters’ Regulatory Intelligence. She expressed the belief that all eyes are now on the FCA following Wirecard’s problems, with many wanting to see precisely how the agency manages e-money firms.
According to her, it has taken the collapse of Wirecard for the FCA to recognise that it needs to do more with the e-money sector to ensure there are no similar large-scale problems for customers in the future. With the FCA emphasising six areas where e-firms need to ensure they are meeting their obligations the onus, says Nicola, will be on the firms to be able to show they have taken all the action required.
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