OFT to close debt advice ‘look alike’ websites

By MoneyhighStreet Staff. Published on March 9, 2009 This post currently has no comments.

Debt advice is increasingly being sought by people as the recession bites but some people are inadvertently turning to fake, look alike websites for this.

Debt Advice

In order to take advantage of people who are seeking debt advice online, a number of websites have been set up which are posing as official sites.

Such sites often copy content from legitimate sites and purport to offer free debt advice, despite the fact that they actually charge fees.

The OFT (Office of Fair Trading) advises that most business which offer credit, lend money or offer debt advice must be licensed by the OFT and must notify the OFT of all the trading names used. Failure to do this can lead to licensing action or criminal prosecution for unlicensed trading.

Ray Watson, OFT Director of Consumer Credit said ‘Consumers are reminded that they should not deal with any company that does not have a consumer credit licence. These unlicensed businesses are unregulated and consumers may have no means of redress if things go wrong.’

The OFT has told those companies trading without a licence to stop immediately otherwise they will be prosecuted.

People searching for debt advice online must take care and ensure they are dealing with genuine, legal websites.

For reference, MoneyHighStreet is fully compliant with all the OFT requirements and holds a Consumer Credit License, number is 575528.

Bookmark With: