Regulation 14

before obtaining an undertaking from the safeguarding institution —

assess, and satisfy itself of, the suitability of the safeguarding institution with respect to the giving of the undertaking; and

give written notice to the safeguarding institution and obtain an acknowledgment from the safeguarding institution that the undertaking is being obtained by the major payment institution or licensee for the purpose of complying with section 23(2) or (4) of the Act, as the case may be;

ensure that the undertaking is not subject to any condition or restriction in respect of being fully liable to the customer for the relevant money;

disclose in writing to the customer that the customer’s relevant money is being safeguarded by an undertaking from the safeguarding institution, to be fully liable to the customer for the relevant money;

assess, and satisfy itself of, the suitability of the safeguarding institution with respect to the giving of the undertaking, on an annual basis subsequent to obtaining the undertaking; and

keep, for a period of 5 years or longer, records of the grounds on which the major payment institution or licensee satisfied itself of the safeguarding institution’s suitability under sub‑paragraph (a)(i) or (d).

a merchant bank that holds a merchant bank licence, or is treated as having been granted a merchant bank licence, under the Banking Act 1970; or

a finance company licensed under the Finance Companies Act 1967.