Change to chain policy regarding pass-through lending arrangements
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From on-lending structures to a mandatory contract handling fee
From 1 januari 2026are all re-lending arrangements of new starters via Circle8 converted into amandatory contract processing fee of up to €1 per hour. The contract processing fee is charged to the intermediary/supplier of the relevant professional. In the short video below you can see which change is involved and what this means for intermediaries/suppliers.
Why is Circle8 introducing a mandatory contract handling fee?
The contract processing fee is being implemented because the large majority of clients requires that Circle8 shortens the chain and performs the compliance checks itself. New and changing laws and regulations also mean that Circle8 absorbs additional administrative work and can no longer perform this free of charge. With the introduction of the new contract processing fee, Circle8 handles the contracts and the intermediary/supplier directly shifts the (compliance) risk to Circle8. In addition, Circle8 proactively shares the billed hours of the relevant professional and offers to receive payment via reverse billing.
What does the contract handling fee concretely mean for intermediaries/suppliers?
The intermediary/supplier pays a maximum of €1 for the contract handling fee per hour.
Circle8 handles the contract processing for all professionals.
Circle8 takes over the (compliance) risk of the intermediary/supplier.
Why is Circle8 introducing a mandatory contract handling fee?
The contract processing fee is being implemented because the large majority of clients requires that Circle8 shortens the chain and performs the compliance checks itself. New and changing laws and regulations also mean that Circle8 absorbs additional administrative work and can no longer perform this free of charge. With the introduction of the new contract processing fee, Circle8 handles the contracts and the intermediary/supplier directly shifts the (compliance) risk to Circle8. In addition, Circle8 proactively shares the billed hours of the relevant professional and offers to receive payment via reverse billing.
What does the contract handling fee concretely mean for intermediaries/suppliers?
The intermediary/supplier pays a maximum of €1 for the contract handling fee per hour.
Circle8 handles the contract processing for all professionals.
Circle8 takes over the (compliance) risk of the intermediary/supplier.
