The OFT has told 11 financial management businesses with 'look alike' websites posing as official or charity advice sites to close them down immediately, and has warned consumers to take care when searching for debt advice online.
The body said the sites use similar or slightly amended domain names which imply that they are affiliated to organisations such as Citizens Advice, Advice UK, National Debtline or the Consumer Credit Counselling Service. Some of the website names also imply that they have some official status or sanction from the Government.
The OFT has told the companies to stop using the trading names immediately and for those companies who were trading without a licence to stop trading completely or face prosecution.
The OFT is also working closely with internet service providers to ensure that the websites are taken down promptly.
Ray Watson, director for consumer credit at the OFT, said it will take action against businesses that use 'look alike' websites to mislead consumers into believing they are dealing with established charitable or not-for-profit organisations.
He explained: “Consumers are also reminded that they should not deal with any company that does not have a consumer credit licence. These unlicensed businesses are unregulated and consumers may have no means of redress if things go wrong.”
