From the Editor: Should IFAs have recommended debt firms?

debtDr, which had about 60 debt consultants nationwide as well as a network of adviser introducers, charged clients to negotiate more manageable terms for their debts. Clients would then transfer full and final settlement money to the service, which it agreed to keep in separate client accounts to pay out to creditors. However, following an e-mail saying debtDr had ceased trading, advisers were unable to uncover any details about the whereabouts of client money or reassurances their outstanding commission would be paid. Now, debt regulator the Office of Fair Trading (OFT) has warne...