The AFM hereby announces, pursuant to Article 1:98 of the Wft, that the AFM's decision of 21 January 2009 to impose a fine on Credit Select B.V. has since (as of 25 May 2009) become legally irreversible. The Netherlands Authority for the Financial Markets (AFM) announces that on 21 January 2009 it imposed an administrative penalty of € 6,000 on Credit Select B.V. (‘CS’) because of negligent service provision. The Financial Supervision Act (Wft) obliges parties to provide services with due care to clients (Article 4:23 Wft).
CS is a financial services provider that advises clients on, among other things, loans and capital sum insurance. The AFM imposed the administrative penalty because CS, in the period from September 2007 to April 2008 inclusive, failed to collect sufficient information on the knowledge, experience, objectives and willingness to accept risks of its clients with respect to loans. The AFM considers this information relevant to providing advice on taking out loans. The AFM's investigation further showed that CS, with respect to capital sum insurance, failed to collect sufficient information on its client's objectives.
In addition, the AFM has established that, with respect to capital sum insurance, that in nearly all cases it cannot be determined whether the product matches the profile filled out by the client. In one case the product effectively does not match the profile filled out by the client.
Interested parties can submit the AFM's decision to the competent court for review.
If you have any questions or comments you can also contact the Financial Markets Information Line on: +31 (0)900-5400 540 (5 eurocents per minute) or from abroad +31 20 797 3715.
The AFM promotes fairness and transparency within financial markets. We are the independent supervisory authority for the savings, lending, investment and insurance markets. The AFM promotes the conscientious provision of financial services to consumers and supervises the honest and efficient operation of the capital markets. Our aim is to improve consumers’ and the business sector’s confidence in the financial markets, both in the Netherlands and abroad. In performing this task the AFM contributes to the prosperity and economic reputation of the Netherlands.
The AFM is committed to promoting fair and transparent financial markets.
As an independent market conduct authority, we contribute to a sustainable financial system and prosperity in the Netherlands.