Premium Credit offers a finance facility that allows insurance brokers to spread their Financial Conduct Authority (FCA) fees and levies over monthly repayments.
A press release from the finance services provider said this alternative payment method was first made available for regulated firms over 15 years ago and has continued to grow in popularity over the years.
According to Nigel Stewart , sales director – sports, professions & leisure, more than 2,000 companies used the offering to pay their FCA fees as a monthly expense rather than a lump sum payment in 2022.
“With high UK inflation and economic uncertainty, insurance brokers are feeling additional financial pressure and looking for new ways to preserve cash flow,” he said. “As payment deadlines for FCA fees draw closer for many firms, working with Premium Credit is an obvious consideration for businesses looking to ease liquidity challenges.”
Premium Credit has invested in technology to provide customers with a streamlined digital application process, Stewart added. It also handles the bulk of the administration by paying the fees directly to the FCA.
Firms interested in FCA fee funding can apply online, the release from Premium Credit noted. Businesses are advised to act swiftly to consider the best fee payment option to avoid any financial penalties for late responses.
Last year, Premium Credit was acquired by investment firm TowerBrook Capital Partners from Cinven.
In a statement about the transaction, TowerBrook managing director Joseph Knoll referred to Premium Credit as “a high-quality business with strong prospects for continued growth,” praising the company’s technology platform and diversification into new product areas, as well as its management team.
