Before the 1st of April 2013, the financial world was regulated by the Financial Services Authority. They had been in existence since 2001, but they had been accused several times of not taking concrete or direct action against the financial services they were supposed to regulate. This failure was confirmed by the credit crunch and collapse of several financial institutions leading to a massive wave of public borrowing to help rescue the banks involved.

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It was decided that something with more clout and power was needed. This was the Financial Conduct Authority. They would work with the Prudential Regulation Authority. In this way, the regulations that would keep the financial collapse from happening again were set in place.

One of the most insistence parts of the FCA’s remit is that there is a robust KYC (know your customer) in place. Financial institutions need to have this. Otherwise, they will find themselves fined by the FCA. If it is a significant institution, it will no doubt be made an example of. So it’s why they, like others, need to cover themselves.

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This was reinforced by the strong customer authentication that came into force in March 2020. This was a revolution in the field of customer care and has upped the ante in terms of the level at which banks need to offer protection for our money. However, it also requires more effort on our part. One of the best ways to gain access is to go through your mobile app.

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