MCOB 4.1 Application
Who?
This chapter applies to a firm in a category listed in column (1) of the table in MCOB 4.1.2 R in accordance with column (2) of that table.
This table belongs to MCOB 4.1.1 R
(1) Category of firm |
(2) Applicable section |
except in relation to lifetime mortgages:6 MCOB 4.1 to MCOB 4.4A, 4.6A, MCOB 4.8A in accordance with MCOB 4.1.2A R and 6MCOB 4.94 6643 |
|
except in relation to lifetime mortgages:6 whole chapter except MCOB 4.104 |
|
except in relation to lifetime mortgages:6 whole chapter except 6MCOB 4.7A6 and MCOB 4.104 |
|
MCOB 4.1, MCOB 4.2 and MCOB 4.10 (except MCOB 4.10.5 G to MCOB 4.10.7 G). MCOB 4.4A and MCOB 4.8A in accordance with MCOB 4.1.2B R and MCOB 4.10.6 6 |
|
MCOB 4.1, MCOB 4.2, MCOB 4.5, MCOB 4.6 and MCOB 4.10. MCOB 4.4A, MCOB 4.7A and MCOB 4.8A6 in accordance with MCOB 4.10 6 |
|
As for a home purchase adviser except MCOB 4.10.5A R to MCOB 4.10.9A R, MCOB 4.10.13 R and MCOB 4.7A do not apply 6 |
|
| 6 | |
6MCOB 4.8A only applies to a mortgage lender in relation to entering into a regulated mortgage contract where there is no firm which is arranging (bringing about) the regulated mortgage contract to which MCOB 4.8A applies.
6MCOB 4.8A only applies to a home purchase provider (as provided in MCOB 4.10.9B R) in relation to entering into a home purchase plan where there is no firm which is arranging (bringing about) the home purchase plan to which MCOB 4.8A applies (as provided in MCOB 4.10.9B R).
6MCOB 4.1.2A R and MCOB 4.1.2B R mean that the provisions in MCOB 4.8A on execution-only sales, including the prohibition on entering into them in the circumstances specified in that section, only apply to sales by mortgage lenders or home purchase providers where there is no intermediary firm to which that section applies.
MCOB 4.1.2A R and MCOB 4.1.2B R mean that the situations where MCOB 4.8A applies to a mortgage lender or home purchase provider include where a mortgage intermediary or home purchase intermediary has been involved in arranging a regulated mortgage contract or home purchaser plan but is no longer involved in the transaction.
What?
This chapter applies if a firm in the course of carrying on a home finance activity4: enters into, advises on or arranges a home finance transaction or a variation of the terms of a home finance transaction.6
4- (1)
MCOB 4.4A7 (Initial disclosure requirements) applies only in relation to varying the terms of a regulated mortgage contract entered into by the customer in any of the following ways:
- (a)
adding or removing a party;
- (b)
taking out a further advance; or
- (c)
switching all or part of the regulated mortgage contract from one interest rate to another.1
- (a)
- (2)
Otherwise, this chapter, MCOB 4, applies in relation to any form of variation of a regulated mortgage contract.
If a firm is an authorised professional firm, when the firm conducts non-mainstream regulated activities with a customer, the only initial disclosure requirements that apply are those relating to the Financial Ombudsman Service and the FSCS (see MCOB 1.2.10 R (3))4.
441The FCA would not view the removal of a party to the regulated mortgage contract following the death of that party (and where no other variation is proposed) as a variation for the purposes of MCOB 4.1.4 R(1).