Tied vs Non-Tied Credit Intermediary: Which to Choose in Portugal?

Anyone preparing an authorisation application to the Banco de Portugal eventually arrives at the question that shapes the entire business: tied or non-tied? At first glance it looks like an administrative choice, almost a form-filling detail. It is not. The category you choose defines who pays you, how many banks you can work with, whether you need to set up a company and even the type of clients you will attract. Making this decision without fully understanding what is at stake is one of the most common causes of applications returned by the regulator, and of licences that end up not fitting the professional.

Quick comparison of the two categories

Before going into the details, it is worth seeing the main decision points side by side.

Aspect	Tied (Vinculado)	Non-Tied (Não Vinculado)
Who pays the commission	The bank (lender)	The end client
Can it charge the client?	No	Only the client
Can it be paid by the bank?	Only by contracted lenders	No, in any form
Permitted legal form	Individual or corporate	Corporate entity only
Banks it can work with	Only those with a tying contract	Multiple, no exclusivity
Liability before the client	Rests with the lender (bank)	Rests with the intermediary
Typical profile	Professional tied to 1 or 2 banks, or real-estate agent in an ancillary model	Independent firm, multi-bank, advising the client

Pay close attention to the remuneration line. This is where many people misread the law: a non-tied intermediary cannot receive any commission from the bank, not even indirectly. And a tied intermediary, conversely, can never charge the end client. They are opposite economic models.

What is a tied credit intermediary

A tied intermediary acts in the name and under the total and unconditional responsibility of the bank with which it has a tying contract, pursuant to Decree-Law 81-C/2017. In practice, it acts as a commercial extension of the financial institution, only without being part of its workforce.

It can have a contract with a single bank or with several simultaneously, as long as each tying contract is registered with the Banco de Portugal. It is a category open to both individuals (sole traders) and to companies.

The remuneration model is clear: it receives a commission from the bank for each contract executed, typically a percentage of the amount financed. It cannot ask the end client for anything, not even a symbolic analysis or dossier-preparation fee. Doing so would place it in breach.

In favour of the tied model:

• Immediate access to an already established commercial structure (bank training, simulators, support)
• Relatively simple licensing process, particularly when the bank helps
• Predictable remuneration, without having to explain to the client how much it earns
• Can be exercised as an individual, reducing company-formation costs

Against the tied model:

• Only works with the partner bank’s products, which limits the range of proposals presented
• Strong dependence on the lender’s commercial policy (if the bank tightens criteria, the intermediary suffers)
• Reduced negotiation room with the client (no product from other banks to compare with)
• More exposed to the risk of a change in strategy by the partner bank

What is a non-tied credit intermediary

The non-tied intermediary carries on the activity independently, without any tying contract with lenders. It presents proposals from various banks to the client, advises on the choice and is paid exclusively for the service provided. It is the figure closest to a credit adviser in the fullest sense of the term.

There are two legal points that cannot be overlooked in this category:

First, it can only be exercised as a corporate entity. In other words, it is mandatory to set up a company (typically a Sociedade por Quotas, similar to an Ltd), with all the costs and obligations that entails (tax ID, beneficial-ownership registry, structured accounting, corporate tax).

Second, remuneration can only come from the client. A non-tied intermediary is legally prevented from receiving any commission, bonus or consideration from banks, even for ancillary services or for the volume of business generated. This is the guarantee of independence that the legislator wanted to give to the client who pays for the advice.

In favour of the non-tied model:

• True independence from banks, recognised by the client
• Can work with multiple lenders and present credit solutions suited to the client’s profile
• The direct-fee model creates a more transparent commercial relationship
• Profile valued by clients seeking unbiased advice

Against the non-tied model:

• Requires setting up a company and bearing all the related costs
• Depends on the client being willing to pay fees, which requires market maturity
• More demanding licensing process on the corporate side
• More complex commercial management (many banks, many products, much information)

And the third category, ancillary?

For completeness, it is worth remembering there is a third category: the ancillary intermediary. It applies to suppliers of goods or services that, secondarily, intermediate credit for the acquisition of their own products. The classic example is the real-estate agent who helps the client obtain the mortgage for the house being sold, or the car dealer that intermediates the financing of the vehicle. Remuneration comes from the bank, as in the tied model, but the professional’s main activity is a different one.

If your core activity is selling property, cars or other goods, and credit is a complementary service to facilitate the sale, the ancillary category is the right one. If credit is your business, it is between tied and non-tied that you have to choose.

Which is the right category for you

The decision depends on three main variables. Let’s look at each one.

1. Relationship with banks. If you already have, or intend to build, a strong commercial relationship with one or two banks that will generate the bulk of the business, the tied model makes sense. If you aim to work with a wide range of lenders and compare proposals with greater independence, the non-tied category will tend to be the more suitable one.

2. Client profile. Clients who seek a tied intermediary typically accept that the professional is linked to a given bank and value the speed and familiarity with the product. Clients who seek a non-tied intermediary are paying for independence: they expect several proposals, objective comparison and a recommendation based on the merit of each offer.

3. The structure you want to build. A sole trader who works alone or with little structure fits better in the tied model. A firm with a team, an office, several case managers and ambition to scale finds in the non-tied model the natural base, precisely because of the fixed costs it wants to amortise.

There is a fourth, less objective consideration: the type of relationship you want to have with the client. Under the tied model, the client belongs to the bank, and the intermediary is a commercial partner. Under the non-tied model, the client is yours, and the bank is the supplier of the solution. This difference, which may seem abstract, changes how you build the brand and how you retain the book of business over the years.

Can I switch category later?

Yes, but it is not an automatic process. Changing category requires submitting a new authorisation request to the Banco de Portugal, with all the documentation that the new category demands. If you were a tied sole trader and want to move to non-tied, for instance, you will need to set up a company, prepare the business plan, update the professional civil liability insurance, revise the articles of association and the beneficial-ownership registry, and submit the application as if it were a new one. Until approval, you cannot operate under the new category.

Our recommendation is therefore clear: take the time needed to decide well the first time. The cost of going back is high, and the client senses it when the professional has switched hats halfway through.

How to decide safely

Choosing the category is the moment when specialised legal support is most valuable. A lawyer experienced in banking law and in Banco de Portugal licensing will analyse your concrete business plan, understand what type of clients you intend to serve and which banks will be part of the operation, and point to the category that maximises the chances of authorisation while minimising future compliance risk. Learn more about our licensing support service.

In parallel, whatever category you choose, the day-to-day of the activity demands a tool up to the Banco de Portugal’s expectations. A specialised CRM allows you to organise cases, keep document traceability, support compliance with the applicable operational and regulatory duties, and document each comparison of proposals presented to the client.

Frequently asked questions

Can I be tied to two banks at the same time? Yes. You just need a separate tying contract with each lender, and each contract must be registered with the Banco de Portugal.

Can a tied intermediary charge the client for separate consultancy services? No. The ban on receiving remuneration from the client applies to the intermediation activity as a whole, not only to the commission for executing the contract.

Can a non-tied intermediary receive a payment from the bank for “training” or “commercial support”? No. The law is clear: any form of remuneration, direct or indirect, from a lender is forbidden to the non-tied intermediary. This includes prizes, bonuses, goods in kind or training paid by the bank.

Which of the two categories is more profitable? It depends on volume. The tied model scales with the number of operations and margin per operation. The non-tied model scales with the value of the advice and with client retention. Neither category is, upfront, more profitable: it is the cost structure and the business model that make the difference.

If I switch category, do I lose my current authorisation? The authorisation in force remains in place until the new request is decided. Only after being authorised in the new category do you start to operate under that regime. If the new request is denied, you continue in the current category.

Can I operate as tied through one company and as non-tied through another? As a rule, you should not structure the activity in that way without prior legal review. Credit intermediation may only be carried on in one category, and situations involving overlapping roles, companies or interests should be assessed with particular care under the rules on incompatibilities, registration and conflicts of interest.

Conclusion

Choosing between tied and non-tied is not a bureaucratic decision; it is a strategic choice that will shape the coming years of your activity. The tied model favours operational simplicity and proximity to banks; the non-tied model favours independence and a direct-fee model. Both categories are legitimate and can be very successful, but they serve different professional profiles and different types of client. Decide based on the business you want to build, and not merely on the category that looks easier to obtain.

Related reading

• Credit Intermediary in Portugal: Complete Guide — the single reference on credit intermediation in Portugal.
• Obligations of the Credit Intermediary in Portugal (2025) — the duties that accompany any of the categories.
• Want to become a Credit Intermediary? With Legal Support, everything becomes easier — specialist legal support to choose the right category and license without returns.