It was announced this week that the Financial Conduct Authority (FCA) cancelled the registration of Easy Exchange Limited as a Small Payment Institution (SPI), citing failures in regulatory compliance.
Easy Exchange Registration as Small Payment Institution Cancelled by FCA
The regulator’s action follows the firm’s inability to meet essential conditions under the Payment Services Regulations 2017 (PSRs).
Easy Exchange, which was registered to provide money remittance services, failed to submit the required annual regulatory reports, known as FSA057 returns, for the years 2021, 2022, and 2023.
Despite repeated reminders and warnings from the FCA, the firm reportedly did not comply.
Additionally, the FCA said Easy Exchange did not register with His Majesty’s Revenue and Customs (HMRC) for supervision under the Money Laundering Regulations (MLRs), a mandatory requirement for SPI money remitters.
In February 2024, the FCA contacted Easy Exchange, indicating potential regulatory action due to the firm’s apparent inactivity in providing payment services.
The FCA said it invited the firm to voluntarily cancel its registration, but received no response. By May 2024, the FCA escalated the matter with a formal letter outlining the firm’s continued non-compliance and the impending cancellation of its registration.
The FCA concluded that Easy Exchange’s persistent non-compliance and lack of cooperation demonstrated an unwillingness to meet its regulatory obligations.
As a result, the FCA proceeded with the cancellation, effective from 8 January 2025.
