Luxembourg Mortgage Credit Intermediaries

Licensing and Authorisation

Any entity wishing to act as a mortgage credit intermediary in Luxembourg must obtain prior authorisation from the CSSF, demonstrating that the firm meets all required fit and proper, capital, and operational standards before commencing business activities.

Professional Competence Requirements

Mortgage credit intermediaries must demonstrate an appropriate level of knowledge and competence relating to mortgage credit products, ensuring they can provide useful and accurate advice to consumers entering into long-term financial commitments.

Consumer Protection Obligations

Licensed intermediaries must act honestly, fairly, and professionally in the best interest of clients, providing clear and transparent disclosure of all relevant information regarding mortgage credit agreements before any commitment is made.

Ongoing Compliance and Reporting

Mortgage credit intermediaries must continuously meet their regulatory obligations, including regular reporting to the CSSF and maintaining robust internal controls to ensure ongoing compliance with Luxembourg's mortgage credit legislation.

A Single Credit Institution

A tied mortgage credit intermediary may act exclusively on behalf of one credit institution, presenting and advising on that institution's mortgage products under its full and unconditional responsibility.

A Single Mortgage Credit Provider

The intermediary may also act on behalf of a single non-bank mortgage credit provider, with that provider taking full responsibility for the intermediary's conduct and compliance with applicable regulations.

A Group of Credit Institutions or Providers

A tied intermediary can act on behalf of a defined group of credit institutions or mortgage providers, provided that responsibility for the intermediary's activities remains clearly assigned within the group structure.

An Appointed Principal Entity

In all cases, the tied intermediary operates strictly under the unconditional responsibility of its appointed principal entity, which remains fully accountable for the intermediary's actions, advice, and regulatory compliance.