Business · Economy · 3 hrs ago
FCA warns some debt advice firms may leave people owing more
The UK’s Financial Conduct Authority says some unregulated firms collect people’s details through cold calls or online adverts.
Some may pretend to be debt charities or debt collectors, then pass details to businesses selling paid debt solutions.
Warning signs include repeated pressure to agree to a plan and coaching on what to say or change on lenders’ paperwork.
People may be steered towards paid options such as Individual Voluntary Arrangements or some debt management plans without being told about alternatives.
These arrangements can add costs, so a solution may leave someone owing more.
The FCA advises people to check who they are speaking to and whether the firm’s details match its official information.
Before deciding what to do, people should get full, free and impartial debt advice and explore their options.
The Financial Conduct Authority says some unregulated firms may steer people towards paid debt solutions without properly explaining other options.
The firms may collect personal details through cold calls or online adverts and pass them to businesses selling debt solutions.
Warning signs include repeated pressure to agree to a solution and advice to change information on lenders’ paperwork.
StepChange chief executive Vikki Brownridge urged people to seek free, impartial debt advice before deciding how to handle debts.
- Who
- The Financial Conduct Authority is warning about some unregulated firms. StepChange also advises people in debt.
- What
- Some firms may direct people to paid debt solutions without properly explaining alternatives.
- When
- The article was published on 11 October 2026.
- Where
- Not stated
- Why
- The FCA says some firms collect people’s details and pass them to businesses offering paid debt solutions.
This story does not have two clearly opposing sides.
Before making any decisions around how to deal with your debts, it's always worth getting full, free and impartial debt advice first, exploring all options to clear your debt in the safest and most sustainable way,
This story does not have a timeline yet.
- Regulator
- Financial Conduct Authority
- Advice charity
- StepChange
- StepChange chief executive
- Vikki Brownridge
- Article publication date
- 11 October 2026
Sources
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