1. Member States shall determine whether credit servicers, when performing credit servicing activities in their territory, are either:
(a) allowed to receive and hold funds from borrowers in order to transfer those funds to credit purchasers; or
(b) prohibited from receiving and holding funds from borrowers.
2. In cases where credit servicers are allowed to receive and hold funds from borrowers under paragraph 1, point (a), Member States shall:
(a) lay down, in addition to the requirements for the granting of an authorisation set out in Article 5(1), a requirement that the applicant has a separate account in a credit institution into which all funds received from borrowers are to be credited and kept until their channelling to the respective credit purchaser, under the conditions agreed with the credit purchaser;
(b) ensure that those funds are protected in accordance with national law in the interest of the credit purchasers against the claims of the other creditors of the credit serv
…