The UK Financial Conduct Authority (FCA) has issued its recommendations for changes to P2P lending regulations for loan-based crowdfunding platforms. Based on the FCA’s findings it invites responses to rule changes for loan-based firms which cover proposals to:
- ensure investors receive clear and accurate information about a potential investment and understand the risks involved;
- ensure investors are adequately remunerated for the risk they are taking;
- provide transparent and robust systems for assessing the risk, value and price of loans, and fair/transparent charges to investors; and
- promote good governance and orderly business practices.