Wise Owl stops offering mortgages and insurance
Share
Wise Owl Services Limited is no longer permitted to conduct insurance and mortgage activity, the Financial Services Authority has revealed.
The FSA originally contacted Wise Owl Services, trading as Wise Owl Insurance Services and Wise Owl Mortgage Services over concerns about its sales practices.
Following this contact the firm agreed to remove its permission to conduct regulated insurance and mortgage activity.
The Birmingham-based firm’s insurance customers may find their policies affected, particularly those who took advantage of the its ‘free life insurance’.
Wise Owl Services agreed to pay the regular premium for a set period, usually 12 months, for customers of ‘free life insurance’.
It appears the firm has stopped paying these premiums as promised and customers may be unaware they are no longer insured.
The FSA advises customers affected to contact their insurer to check their policy is valid.
If customers are paying premiums direct to Wise Owl Services they should check with the insurance provider to ensure it has received the premiums and your insurance is still in place.
Readers' comments (4)
Anonymous | 11 Aug 2010 9:40 am
How the hell do these firms get away with this for so long? I thought we were not allowed to hold client money????
Unsuitable or offensive? Report this comment
John Toogood . Debt Free | 11 Aug 2010 9:52 am
When I was conducting Insurance business on a regular basis, the insurance companies would not accept payments other than by Direct Debit and the Direct Debit had to be in the name of the policyholder unless there were exceptional circumstances. I dont consider a marketing scam by what turns out to be an unethical broker an exceptional circumstance! When did things change and why?
Unsuitable or offensive? Report this comment
Andy Valvona | 11 Aug 2010 9:53 am
All authorised firms have the option of applying to hold client money. Those that do have more stringent capital adequacy requirements than those that don't.
A firm who is authorised to hold client money will have "Able to hold and control client money" displayed in the notice section of their basic details entry in the FSA register.
Unsuitable or offensive? Report this comment
Steve Sneddon | 11 Aug 2010 11:44 am
How do they get away with it for so long? (Anonymous)
Quite simply, this wise old owl doesn't give two hoots...!!
Unsuitable or offensive? Report this comment