Passporting for Mortgage Credit Intermediaries

The European Union (Consumer Mortgage Credit Agreements) Regulations 2016 (the Regulations), which transpose Directive 2014/17/EU on credit agreements for consumers relating to residential immovable property (the Mortgage Credit Directive) into Irish law, allow mortgage credit intermediaries to operate in other EEA Member States in accordance with the principles of freedom of establishment and freedom to provide services, provided that the activities the mortgage credit intermediary intends to carry out in the host Member State are covered by its authorisation under the Regulations and provided that the appropriate notification procedure has been followed between the relevant competent authorities.

Any mortgage credit intermediary authorised by the Central Bank under Regulation 30 of the Regulations, which intends to carry out business for the first time in another EEA Member State under the freedom to provide services, or freedom to establish a branch, must inform the Central Bank by means of the submission of one or both, as applicable, of the notification forms provided below. Please see attached link to European Commission website for further information on the Mortgage Credit Directive.

Any mortgage credit intermediary authorised in another EEA Member State intending to carry out business in Ireland in accordance with the Regulations must complete the Notification Forms for Freedom of Services and/or Freedom of Establishment in English only.

Firms Deemed to be Authorised under the Transitional Provisions contained in the Regulations

The holder of a Mortgage Intermediary authorisation granted under section 116 of the Consumer Credit Act, 1995, which is deemed to be authorised under the transitional arrangements provided for in the Regulations, shall not act as a Mortgage Credit Intermediary outside the State at any time before 21 March 2017 unless the holder satisfies the necessary legal requirements of the host EEA Member State.

Freedom of Establishment

A mortgage credit intermediary wishing to establish a branch in another Member State must complete and submit the below 'Freedom of Establishment Form - CMCAR'. Please note this form must be completed fully and accurately.

As the role of Branch Manager of a branch established in another Member State is prescribed as a Pre-Approval Controlled Function (PCF) role, an online Individual Questionnaire should be completed in respect of the individual proposed for this role.

Within a period of one month of receipt of a fully completed 'Freedom of Establishment Form - CMCAR', the Central Bank shall forward the notification to the competent authorities in the host EEA Member State(s) concerned, and shall at that time inform the mortgage credit intermediary of that notification. The mortgage credit intermediary may start business one month after the date on which the notification is forwarded to the host competent authority by the Central Bank.

Freedom of Services

A mortgage credit intermediary wishing to carry out business in another Member State under the freedom to provide services must complete and submit the 'MCD Freedom of Services Form'. Please note this form must be completed fully and accurately.

Within a period of one month of receipt of a fully completed 'MCD Freedom of Services Form', the Central Bank shall forward the notification to the competent authorities in the host EEA Member State(s) concerned, and shall at that time inform the mortgage credit intermediary of that notification. The mortgage credit intermediary may start business one month after the date on which the notification is forwarded to the host competent authority by the Central Bank.

Completed forms should be sent to:

Passporting Notifications,
Consumer Protection: Policy & Authorisations Division,
Central Bank of Ireland,
PO Box 559,
College Green,
Dublin 2.

Or by email to: [email protected]