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MSE News: Warning! Re-Give savings not protected
Former_MSE_Dan
Former MSE 1.6K Posts
A new savings account provider offering high interest is NOT protected by any compensation scheme, which means if it went bust savers would be likely to lose their cash.
Despite the UK banks’ regulator, the Financial Services Authority (FSA), being aware of the problems for over 10 days, nothing has been done. While in the past this would seem a tiny window, in the age of the internet every second wasted could add to the amount of savers’ cash being put at grave risk.
Despite the UK banks’ regulator, the Financial Services Authority (FSA), being aware of the problems for over 10 days, nothing has been done. While in the past this would seem a tiny window, in the age of the internet every second wasted could add to the amount of savers’ cash being put at grave risk.
Former MSE team member
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If an IFA used the same statement on their report then it would be considered a mis-sale. It is a capital at risk product.
Bizarre statement. Do they think that other companies that have gone on to fail leaving a shortfall to consumers actually planned to do so? (only scam companies do that). Intention maybe one thing but reality is another and reality is that it is not risk free and should not present itself as such.
As I said - Buyer Beware!
Here is a Google Street View of 3 Perry Hill.
http://goo.gl/maps/T31P
I would not trust this company with a penny of mine!
Nice living room though:
-o I am humble -o You are attention seeking -o She is Nadine Dorries
It's a bit common.
You can also see it
here: http://www.evolvingenergysolutions.com/aboutus/
and here: http://www.annzoseo.com/seo/about-us.html
and here: http://www.platinum-vision.com/About-us.html
http://www.regive.org.uk/savings-bond/5afsb.html Frequently Asked Questions section contains these claims, each of which you might consider to be false and/or misleading:
"Isn't my money at greater risk if it is not covered by the Financial Services Compensation Scheme (FSCS)?" which compares investing with regive to investing with a firm covered by the FSCS and makes the claim that there is "No additional risk" compared to the FSCS protected firm. Since the FSCS protects against insolvency it seems very hard for this to be a true statement.
"Are you covered by the Financial Services Compensation Scheme (FSCS)? No – but this does not mean that your investment is at risk". Later it says that "Is the return of my money guaranteed? ... No - we are FSA registered so the risk is relatively low and the return of the principal of your investment is principally assured, but it is not guaranteed". The first claim appears to be hard to be not misleading since the capital is later described as being at risk and FSA regulation says nothing about the level of risk of an investment.
In the terms and conditions at http://www.regive.org.uk/user/TC-5AFSB-V.3F5.pdf is the statement "in the unlikely event that it seems possible that we would not be able to maintain the value of the principal of your investment, then we may undertake to meet the required shortfall from our capital base. If for some reason we are not able to do this, we will contact you to ask if you wish to terminate the agreement". "Not able" implies a lack of discretion, inability, not a choice. "may undertake" implies a choice. The ambiguity means that this is not a clear statement - will the reimbursement happen if the capital is available by any lawful means or is there some discretion available to Regive?
Got to love that. 10/10 for observation.
Anyone posting odds on their website being changed in the future to remove the image?
Odd that the phone number they use (01273 741483) is a Brighton number, not a Chelmsford number.