The Financial Conduct Authority (FCA) has issued a warning about a City-based online banking services provider offering life insurance targeting UK customers.
The regulator has warned that Great Western Bank which lists its address as 28 Finsbury Circus, London, EC2M 7DT on its website is not authorised by the FCA and is targeting people in the UK.
The FCA highlighted that as the firm is not authorised, customers will not have access to the Financial Ombudsman Service or be protected by the Financial Services Compensation Scheme (FSCS), so are unlikely to get their money back if things go wrong.
According to its website, the bank lists life insurance among its services on offer and lists a single mobile number for customers to contact the organisation.
The FCA recommends customers check the Financial Services (FS) Register to ensure organisations are authorised or registered as the register contains information on firms and individuals that are, or have been, regulated by it.
The regulator further pointed out that where customers have used an authorised firm or registered firm, access to the Financial Ombudsman Service and FSCS protection will depend on the investment being made, the service the firm is providing, and the permissions the firm has.
For those wanting further information about protection, the authorised or registered firm should be able to help.
Where firms do not appear on the FS Register but claims they do, customers are urged to contact the regulator’s consumer helpline on 0800 111 6768.
An FCA spokesperson said: “Every year we issue thousands of warnings about firms and individuals that may be conducting unauthorised activity. We do this by proactively monitoring websites and social media and responding to reports from consumers and other third parties.
“We encourage people to do their research and check our warning list as well as the Financial Services register to see if the firm or person, they’re dealing with is authorised, before they part with their money.”