Skip to main content
Entire section Custom print Text Only Rich Text Print

7.1.2 Training and Remuneration

C 8/2020 STA Effective from 25/12/2020
  1. 7.1.2.1Representatives of the Licensed Financial Institution involved in providing lending/financing must be properly trained and qualified in assessing and approving the suitability, affordability and appropriateness of applications for credit/financing using established criteria and applying the Licensed Financial Institution’s lending/financing policies and procedures. Training of the Staff must cover the characteristics of the Credit Products sold/extended financing, identification of Consumer risks and procedures for carrying out proper verification of Consumer information.
  2. 7.1.2.2The remuneration structure for Staff of the Licensed Financial Institutions must be designed to encourage responsible business conduct in lending / financing and fair treatment of Consumers and to avoid conflicts of interest. Refer to Article 5, Clause 5.1.1.62.
  3. 7.1.2.3Licensed Financial Institution must monitor their sales representatives’ conduct to ensure they do not apply any unethical measures to profit from volume sales based incentives or commission based lending/financing objectives.