LEI service providers
An LEI service provider is a company offering and providing services for LEI registration and renewal of LEI codes. However, usually the company doesn’t issue the LEI code itself. Instead, each service provider is associated with a Local Operating Unit (LOU), and/or a registration agent. LOU units issue LEI codes as per ISO 17442: 2012 standard. These units upload the LEI code information to GLEIF, which is the organization responsible for operating the LEI system.
What do LEI service providers do?
The main function of a LEI service provider is to provide services to companies, organizations, institutions and other customers for the registration and renewal of LEI. They simply provide a platform for companies and other legal entities to register, renew and transfer LEI codes. LEI numbers are required to carry out secure transactions in the European securities market. All legal entities that buy and sell securities in Europe need this code. This is why it is important that registration services are easily available in countries where LEI codes are mandatory.
Besides this, LEI code service providers also provide information to people about how the LEI code system works and which organizations are required to have a valid LEI number. They also help make the registration and renewal process easier. They are also responsible for helping clients if they have any questions or face any issues.
An LEI service provider also provides secure payment solutions, so that a client can apply for registration and renewal easily and securely. LEI providers also collect data relevant for the Indian Income Tax authorities and the Department for Promotion of Industry and Internal Trade. They also validate such data and make sure that the information submitted is correct.
Indian LEI registration agents
There are very few service providers in India offering LEI registration and renewal services. Some of these service providers are official registration agents. This means that they are directly connected a specific local operating unit or LOU. Some examples include Legal Entity Identifier India Limited (LEIL), India LEI and LEI WORLDWIDE.The LOU with which they are linked can vary between service providers. Some LOUs include RapidLEI, Bloomberg or GMEI Utility.
A service provider doesn’t need to be an official registration agent to offer LEI registration services. They may just provide a platform where a client can submit their details, and the service provider then provides the LEI services through an external registration agent.
This is how LEI Certificate works. We offer our LEI registration and renewal services through LEI Register. However, the process and reliability doesn’t get affected. It remains the same as when you would contact an official registration agent directly.
Why is it important to compare services?
The LEI system is quite new and many people still don’t know how the LEI registration works. In India, many people think that only one agent is allowed to offer registration and renewal of LEI codes. Many people end up paying huge amounts of money for their LEI codes because of this misconception.
However, this is not a correct fact. As a company interested in carrying out securities transaction in the financial markets, you are required to have a valid LEI code. You also have the right to choose any LEI service provider to register, renew or transfer your LEI number.
The first service providers charged a lot of money for providing their services. This led many to believe that LEI registration is very expensive. However, the fact is that you need to pay the same amount of LEI registration fees to the GLEIF, no matter which service provider you choose.
The variation in the cost between providers is basically their own administration charges for providing LEI registration and renewal services. This means that if you compare different LEI suppliers, you can save a lot of money.
LEI Certificate offers LEI code registration and renewal services at the lowest rates in the market. If you decide to sign-up with us, you can save a lot of money with our 5-year deal over other leading service providers in the market.