The Financial Services Compensation Scheme (FSCS) is a safety net tied to regulated financial activities, mainly aimed at consumers and deposit-holders. Credicorp facilities are exempt business-finance arrangements, so FSCS protection does not apply to them.
What this means in practice
FSCS is most relevant to things like protected deposits and certain regulated products. A business loan to a limited company or LLP for business purposes is not one of those products, so there is no FSCS cover attached to your Flex or Slice facility.
What you still have
- A clear written agreement setting out the terms of your facility
- Our internal complaints process if something goes wrong
- The general legal rights that apply between a business and its lender
Why we say this openly
We would rather be upfront than have you assume protections that are not there. Knowing the regime your facility sits in helps you make informed decisions for your company. If you are unsure how this affects you, raise it with us and we will explain plainly.
The absence of FSCS and the Financial Ombudsman Service does not change our commitment to handle your complaint thoroughly and fairly.
See also: Why doesn't the Financial Ombudsman Service apply to my complaint?, What is the Direct Debit Guarantee and does it apply to my facility?, Is Slice covered by the Ombudsman or FSCS?.