FCA licence terminology
Many car dealers search for an FCA licence, even though the FCA usually refers to authorisation and permissions. This guide explains the wording and what it means for vehicle finance activity.
Whether the dealership is simply selling vehicles or also introducing customers to lenders, brokers or motor finance products.
How the customer journey, website wording, application documents and FCA permissions should tell the same story.
What to prepare before an FCA application, FCA licence discussion or post-approval compliance review.
Many dealers still use the phrase FCA licence because it is simple and widely understood.
In practice, firms are usually talking about FCA authorisation and consumer credit permissions.
A car dealer may describe itself as a vehicle retailer, but the finance conversation can still involve regulated activity. The customer journey, lender relationship and website wording need to be checked together.
FCA authorisation is the formal status a firm may need before carrying out regulated activity.
An FCA licence is a common search phrase, but the application process is about permissions and authorisation.
Using the right wording matters because an FCA application is assessed against permissions and regulated activity, not just the informal phrase car dealer FCA licence.
Car dealers that introduce customers to finance providers may need consumer credit permissions.
The permission most often discussed in this context is credit broking permission.
Credit broking can include introducing a customer to a lender or broker as part of a vehicle sale.
Dealers should understand the finance journey before deciding what permissions may be required.
Limited Permission can apply where consumer credit activity is secondary to the main business.
For many car dealers, the main business is selling vehicles and the finance introduction supports that sale.
The wording used in an FCA application should accurately describe the business and customer journey.
Using vague or inconsistent wording can make the application harder to understand.
Before applying, dealers should prepare a clear business description, customer journey, compliance documents and website wording.
For help with this, see our FCA licence support for car dealers.
A sales manager may ask for a motor dealer finance licence, while the application needs to explain credit broking permission, Limited Permission and the vehicle finance customer journey.
People often use the phrase FCA licence, but the FCA usually refers to authorisation and permissions.
Car dealers may need FCA authorisation with consumer credit permissions if they introduce customers to finance providers.
Credit broking permission can allow a firm to introduce customers to lenders or finance brokers where the activity is regulated.
Limited Permission can apply where regulated consumer credit activity is secondary to the firm’s main business.
Yes. 009 Compliance helps motor dealers prepare FCA authorisation applications and supporting documents.
These official FCA pages may help you check the current position before making decisions or submitting information.
We help motor dealers prepare FCA authorisation applications for credit broking and vehicle finance activity.
This page provides general information only. It is not legal or regulatory advice. Firms remain responsible for checking their own FCA permissions, RegData schedule and reporting obligations.
