(1) In this Part "product" does not include a service provided in the course of carrying on a regulated activity within the meaning of section 22 of the Financial Services and Markets Act 2000 [2000 c. 8; section 22 was amended by the Financial Services Act 2012 (c.21), section 7(1). ], other than a service to which paragraph (2) applies.

(2) This paragraph applies to a service consisting of the provision of credit under an agreement which is a restricted-use credit agreement within paragraph (a) or (b) of the definition of that term in article 60L(1) of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001[S.I. 2001/544; relevant amending instruments are S.I. 2013/1881 and S.I. 2014/366.].

(3) But paragraph (2) does not apply to an agreement under which the obligation of the borrower to repay is secured by a legal or equitable mortgage on land (other than timeshare accommodation).

(4) In paragraph (3) -

"mortgage" includes a charge and (in Scotland) a heritable security;

"timeshare accommodation" means overnight accommodation which is the subject of a timeshare contract within the meaning of the Timeshare, Holiday Products, Resale and Exchange Contracts Regulations 2010.