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OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (UK)

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  • OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (UK)

    The OFT has removed the licences of three debt management businesses.

    More...
    The OFT has removed the licences of three debt management businesses.


    First Step Finance Limited (FSF), ( also known as 1ststepfinance ) a large debt management company based in Stockport, can no longer trade in any business requiring a credit licence after the OFT identified serious concerns about the transparency and integrity of its practices.

    The OFT made a decision to revoke FSF's licence in November 2012 after finding that among other things, FSF's advertising, marketing and other information failed adequately to highlight the risks or costs associated with using its services.

    FSF made, but then withdrew, an appeal against this decision, following which the OFT authorised it to trade for a short period, subject to strict conditions to protect consumers, so it could wind down or transfer its business. This period has now passed and FSF's consumer credit business has been transferred to another business.


    Welcome Solutions Ltd (WSL), a Lancashire-based debt management company, has had its credit licence revoked after it too withdrew its appeal against an OFT decision to refuse to renew its licence. The OFT found that WSL, which traded as 'debtsorters.co.uk', had engaged in unfair or improper business practices, including falsely claiming or implying that its debt advice was provided on a free and impartial basis, and also publishing misleading or false customer testimonials.


    Another OFT decision not to renew a licence of a debt management firm has also been upheld at appeal. Manchester-based Debt Connect (UK) Limited (DCL) was found to have engaged in a number of unfair business practices, including providing misleading and inaccurate information to consumers and failing to implement proper practices and procedures.


    In upholding the OFT's decision, the First Tier (Consumer Credit) Tribunal concluded that Mr Sharma, the Managing Director and compliance officer of DCL, has 'insufficient skill, knowledge and experience to enable him to guide DCL and its employees through the requirements they must meet in order to discharge their responsibilities as a consumer credit licence holder operating in an area with a high risk of consumer detriment'.
    Since the OFT's 2010 review of the debt management sector, over 100 businesses have exited the market or been refused licences to enter the sector.


    David Fisher, OFT Senior Director of Consumer Credit, said:


    'We have been tackling bad practices in the debt management sector as a priority since our report in 2010 showed widespread breaches of credit guidance that were causing distress to people already in financial difficulty. These results are the latest in our continuing efforts to improve practices across this sector.
    'We expect businesses in the debt management sector to behave with integrity and treat their customers fairly. They must be transparent about the service they are selling, making clear to prospective customers the costs they will incur and the risks they take. We will not hesitate to revoke the licences of debt management businesses that fail to do so.'



    NOTES
    1. FSF can no longer trade in any business requiring a credit licence after 18 October 2013.
    2. FSF discontinued its appeal against the OFT's decision to revoke its licence in June 2013.
    3. The conditions FSF could continue to trade under are available on the Consumer Credit Public Register (Credit licence number: 610509).
    4. DCL has until 11 November to appeal the Tribunal's decision.
    5. In the same action as DCL, the OFT also revoked the associated licence of claims management company, Connected Claims Limited.
    6. The Consumer Credit Act 1974 requires businesses that offer goods or services on credit, or lend money, or are involved in activities relating to credit or hire, to be licensed by the OFT. The OFT has a statutory duty under the Act to administer the consumer credit licensing regime, and must be satisfied that a licensee is fit to hold a consumer credit licence. Trading without a licence in such cases is a criminal offence and can result in a fine and/or imprisonment.
    7. The OFT's consumer credit team currently has 30 'own initiative' investigations open, including 10 into debt management firms.
    8. The Financial Conduct Authority (FCA) will take over regulation of consumer credit from the OFT on 1 April 2014. The transfer of regulation is part of the Government's programme of regulatory changes for financial services and brings conduct of business regulation under a single financial services regulator. See the FCA's website for more information.
    Last edited by Amethyst; 22nd October 2013, 12:15:PM.
    Tags: None

  • #2
    Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

    Historical info on First Step Finance http://www.legalbeagles.info/forums/...o-hold-licence
    #staysafestayhome

    Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

    Received a Court Claim? Read >>>>> First Steps

    Comment


    • #3
      Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

      FSF's homepage
      22/10/13

      http://www.debthelpandadvicelimited.co.uk/ is the new lot.
      Attached Files
      Last edited by Amethyst; 22nd October 2013, 12:24:PM.
      #staysafestayhome

      Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

      Received a Court Claim? Read >>>>> First Steps

      Comment


      • #4
        Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

        I have just spent 4 days reviewing my paperwork on my debt solution plan with first step and reading my paperwork and new contract with Debt help and advice.

        My Trust is now shot.... in anyone thought I had that part of my life under control in thier hands since Oct 2009 but Debts doubled....now have ccjs in !!
        Have challenged various decisions on issues they are dealing with.

        Any recommendations of where to turn to address my debts being paid off & contested?

        PS Since signing on this plan I have been self employed mum with 2 under 14 years old struggling to get business off ground due to many issues
        a) with tax credit system taking monies back etc on numerous occasions
        b) mortgage mis-sell case on going since 2011may be fraud
        c) ppi they could not do on orginal plan for car finance as car was written off in 2010.... currently reviewing Fscs findings
        d) wages case with agency not paying me since feb 2013
        e) on going fight to get daughter learning disabilities recognised since 2008 at hospitals for school to say in sept 2012 its APD then Jan 2014 she has had relapse lots more test to come in coming months.
        f) step mother dying to find under law I get nothing as she married my father and he died intestate 2000 ( he was our mortgage broker and ifa)
        g) fighting a blemain finance ppi on my own plus other ppi claims not in debt plan.

        As a woman on my own also feeling discriminated against and not taken seriously.

        AND
        To have it all topped off with me managing all this with an on going hearing loss issue; to find out when requesting new hearing test 5 weeks ago by gp who allowed me to see on screen letter sent to her from confirm consultannt saying I have normal hearing in 2010 (when audiogram from 2009 shows moderate loss on right side) and recommend I had hearing aid!! Would have been nice to have been told about hearing aid, may have helped my severe tinnitus during the last 5 years.
        I have my new hearing aids fitted in early may as non operated ear has deteriorated to moderate hearing loss requiring further investigations in London hospital, I live Devon

        You may ask if I have had support from husband on this yes by keeping employed but he was diagnosed with dyslexia in 1973 and hates maths, plus he show same traits as daughter with APD (auditory processing order).


        Thank you for reading this far.

        What I'm asking is do I continue by taking back on the responsibility of debts from debt solution plan or who do I turn to....
        tried CAB in 2011 no real help researched bankruptcy then
        Or
        Different plan?

        Comment


        • #5
          Debt Help & Advice Ltd, First Step Finance Ltd or Primary Business Solutions Ltd

          Important information for debt management customers of Debt Help & Advice Ltd, First Step Finance Ltd or Primary Business Solutions Ltd

          Published: Today Last Modified : Today
          People who have a debt management plan with Debt Help & Advice Ltd should cease making payments to the company immediately, the Financial Conduct Authority (FCA) has warned.
          Consumers should do the same if they have debt management plans with Primary Business Solutions Ltd and First Step Finance Ltd, who are affiliated to Debt Help & Advice Ltd. All three firms are based in Stockport.
          On Tuesday (20 May) evening Debt Help & Advice Ltd announced that it had ceased trading. It is believed that between 3,000 and 3,500 customers have a plan with it or its affiliated firms. While valid debts will still need to be paid, as Debt Help & Advice Ltd is no longer operating consumers should not continue making payments to them as they will not reach their creditors.
          Debt Help & Advice Ltd also uses a number of trading names, so no money should be paid to the following:
          • Atria Finance
          • Sales Help and Advice
          • Debt Help and Advice
          • Mortgagehelpandadvice
          • Debt Help & Advice
          • DH and A
          • DH & A
          • debthelpandadvice.com
          • debthelpandadvice.co.uk
          • dhaa.com
          • dhaa.co.uk

          The FCA is working hard to ensure that consumers are appropriately protected and will give further updates, via its website, Twitter or further press statements, as and when they become available.
          In the meantime customers who have questions can contact the FCA’s consumer helpline on 0800 111 6768 (Freephone) or 0300 500 8082 (charged at a local rate for mobile phone users), and press ‘2’.
          The FCA has contacted the Money Advice Service, StepChange and Citizens Advice to make them aware of the issue. Step Change and Citizens Advice offer free debt advice and are happy to take calls from affected customers who would like to discuss their options. Their contact details are:
          StepChange: 0800 138 1111 or www.stepchange.org
          Citizens Advice: 08454 040506 or www.adviceguide.org.uk
          The Money Advice Service does not provide debt advice but does provide free and impartial information that can help people get on top of their debts: www.moneyadviceservice.org.uk/debt
          The FCA is also attempting to track down the creditors of these customers to let them know the situation and will encourage them to take a sympathetic view of repayments while the situation is clarified.
          The FCA took over regulation of consumer credit, which includes debt management firms, on 1 April 2014. The Financial Services Compensation Scheme is not open to customers of consumer credit firms.
          Notes for editors

          1. On 1 April 2013 the FCA became responsible for the conduct supervision of all regulated financial firms and the prudential supervision of those not supervised by the Prudential Regulation Authority (PRA).
          2. The FCA has an overarching strategic objective of ensuring the relevant markets function well. To support this it has three operational objectives: to secure an appropriate degree of protection for consumers; to protect and enhance the integrity of the UK financial system; and to promote effective competition in the interests of consumers.
          3. Find out more information about the FCA.




          ALSO - Alternative Debt Management Ltd - ADM Ltd
          Last edited by Amethyst; 2nd June 2014, 18:03:PM.
          #staysafestayhome

          Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

          Received a Court Claim? Read >>>>> First Steps

          Comment


          • #6
            Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

            80 jobs go as claims management firm closes

            May 20, 2014 15:15
            By Matthew Davis
            0 Comments

            First Step Finance, based at Grand Central Square in Stockport ceased trading yesterday

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            Ken Teegardin

            A claims management business has closed with the loss of around 80 jobs.

            First Step Finance, based at Grand Central Square, Wellington Road South, Stockport, ceased trading yesterday.

            Staff say they were told the company had gone into administration.

            The company had already had its credit license revoked by the Office of Fair Trading.
            #staysafestayhome

            Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

            Received a Court Claim? Read >>>>> First Steps

            Comment


            • #7
              Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

              The FCA has contacted the Money Advice Service, StepChange and Citizens Advice to make them aware of the issue. Step Change and Citizens Advice offer free debt advice and are happy to take calls from affected customers who would like to discuss their options. Their contact details are:
              StepChange: 0800 138 1111 or www.stepchange.org
              Citizens Advice: 08454 040506 or www.adviceguide.org.uk
              The Money Advice Service does not provide debt advice but does provide free and impartial information that can help people get on top of their debts: www.moneyadviceservice.org.uk/debt
              The FCA is also attempting to track down the creditors of these customers to let them know the situation and will encourage them to take a sympathetic view of repayments while the situation is clarified.
              #staysafestayhome

              Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

              Received a Court Claim? Read >>>>> First Steps

              Comment


              • #8
                Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

                The First Step Finance and Debt Help and Advice companies have been bought by Hobart Revenue Management Limited trading as Platinum Management. For ex clients of the the former companies there is a page on the Platinum website that will make grim reading.

                http://www.platinummanagement.co.uk/FSF.html

                So there you have it. Your money is gone (mine too). They did not keep your money in a separate account, instead they spent it.

                I will be watching the administrators' page, but it is just blank at the moment. Please, if anyone gets any news, can they post it here?

                NB. By supplying the above link, I am not recommending taking up with the new owners. That's it for me with dept management companies.

                Comment


                • #9
                  Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U




                  Yes looks like they have removed the previous information that was on Begbies site.... hmmmmm surely the administrators should do a formal notification of sale on there too?

                  https://nextranet.begbies-traynor.com

                  The login details, which are case sensitive, are as follows:

                  Username: FI111ADM
                  Password: jZ7uBJvM

                  Platinum Management is a trading style of Hobart Revenue Management Limited Registered Office: 2nd Floor, Petersgate House, 64 St Petersgate, Stockport, SK1 1HE And is authorised and regulated by the Financial Conduct Authority in respect of consumer credit. Company Registration Number 05556947 Consumer Credit Licence 578656
                  #staysafestayhome

                  Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

                  Received a Court Claim? Read >>>>> First Steps

                  Comment


                  • #10
                    Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

                    Originally posted by magicbeans View Post
                    The First Step Finance and Debt Help and Advice companies have been bought by Hobart Revenue Management Limited trading as Platinum Management. For ex clients of the the former companies there is a page on the Platinum website that will make grim reading.

                    http://www.platinummanagement.co.uk/FSF.html

                    So there you have it. Your money is gone (mine too). They did not keep your money in a separate account, instead they spent it.

                    I will be watching the administrators' page, but it is just blank at the moment. Please, if anyone gets any news, can they post it here?

                    NB. By supplying the above link, I am not recommending taking up with the new owners. That's it for me with dept management companies.
                    Have you heard from any of your creditors as to whether they had been receiving the payments allocated to them ?
                    #staysafestayhome

                    Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

                    Received a Court Claim? Read >>>>> First Steps

                    Comment


                    • #11
                      Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

                      Originally posted by Amethyst View Post
                      Have you heard from any of your creditors as to whether they had been receiving the payments allocated to them ?
                      Yes. Payments now stopped. That indeed is how I found out that DH&A had gone down the tubes.

                      I'll be going over to StepChange now. At least, I hope that is the sensible option. I feel that if a Limited Company can go bust and take all your money with it, and then be "bought" by another Limited Company with no financial obligation to the former out-of-pocket customers, then trusting a Ltd is no way to go. At the back of my mind I knew that, I just didn't make the connection with my own problems until it was too late.

                      Comment


                      • #12
                        Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

                        Originally posted by magicbeans View Post
                        Yes. Payments now stopped. That indeed is how I found out that DH&A had gone down the tubes.

                        I'll be going over to StepChange now. At least, I hope that is the sensible option. I feel that if a Limited Company can go bust and take all your money with it, and then be "bought" by another Limited Company with no financial obligation to the former out-of-pocket customers, then trusting a Ltd is no way to go. At the back of my mind I knew that, I just didn't make the connection with my own problems until it was too late.
                        YEs - definately StepChange. Any issues that aren't solved by making reduced payments on debts via StepChange then feel free to post on here, lots of experience on here on dealing with numerous debt issues. Stepchange are a good place to start getting back on a level though, and at least you know you can trust them and don't have to pay them a fee.
                        #staysafestayhome

                        Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

                        Received a Court Claim? Read >>>>> First Steps

                        Comment


                        • #13
                          Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

                          Just got this from Companies House in my email.

                          This message has been generated in response to your request to monitor the
                          following company:

                          Company Name : DEBT HELP AND ADVICE LIMITED
                          Company Number: 06743034

                          The following form/document(s) have been filed for the above company and are
                          available to order from our Companies House WebCHeck service:

                          Document Type Form
                          ------------- ----
                          Change of RO AD01
                          Liq Doc 2.12B


                          Please visit your WebCHeck account to order the above recently filed
                          document(s).

                          If you have any questions about this email, please contact the Companies House
                          Contact Centre on 0303 1234 500.

                          If you wish to cancel or amend this Monitor Request, please visit 'My Monitor'
                          within your WebCHeck account.

                          http://wck2.companieshouse.gov.uk

                          Yours sincerely,

                          Companies House

                          Comment


                          • #14
                            Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

                            Presumably thats the address change to Begbies.



                            Document
                            AD01 11/06/2014 REGISTERED OFFICE CHANGED ON 11/06/2014 FROM
                            KENDAL HOUSE MURLEY MOSS BUSINESS VILLAGE
                            OXENHOLME ROAD
                            KENDAL
                            CUMBRIA
                            LA9 7RL

                            Document
                            2.12B 10/06/2014 NOTICE OF ADMINISTRATOR'S APPOINTMENT

                            Document
                            TM01 20/05/2014 APPOINTMENT TERMINATED, DIRECTOR DAVID ELLWOOD
                            #staysafestayhome

                            Any support I provide is offered without liability, if you are unsure please seek professional legal guidance.

                            Received a Court Claim? Read >>>>> First Steps

                            Comment


                            • #15
                              Re: OFT removes licences First Step Finance, Welcome Solutions Ltd , Debt Connect (U

                              Thanks for the translation. So Companies House slow to report. It has moved on since then...

                              Comment

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