The Warning Signs of Receiving Bad Debt Advice
BBC News Article
By Kevin Peachey, Cost of Living Correspondent
Published: 12 October 2026
Updated: 13 minutes ago
An increasing number of people are missing credit card repayments as finances are stretched by rising bills, according to the Bank of England. Lenders also expect the number of unpaid credit card debts to rise this autumn. This could increase demand for debt advice, but be wary of traps along the way. Impartial debt advice is available free from recognized charities.
How to Find Help
When facing money troubles, it's easy to fall into the trap of quick-fix solutions advertised online or via cold calls. These may come with upfront fees and unrealistic promises. Consider these tips for finding genuine help:
- Impartial, authorized debt advice: Visit the government-backed Moneyhelper website to find a provider. Ensure they are authorized by the Financial Conduct Authority (FCA).
- Check Authorization: Cross-reference authorization details provided by the firm with the FCA's register.
- Report Issues: If unhappy with a service, complain directly to the firm. For further assistance, contact the Independent Financial Ombudsman Service.
The Warning Signs of Misleading Firms
The FCA warns that some unregulated firms:
- Impersonate debt advice charities or debt collectors.
- Collect personal details through cold calling or online ads.
- Pressure individuals into accepting fee-based debt solutions without exploring alternatives.
- Encourage changing financial details on lenders' paperwork or "coaching" responses.
Always verify the identity of any firm offering debt help, and seek full, free, and impartial advice before making any decisions.
Contact us to share your experiences with debt advice.