London Capital and Finance
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I think it was a rotten company but:
"among those who lost money invested in LCF was Amanda Cunningham, who had put decades worth of savings into the scheme - for her son's future.
"He [her son] suffers with autism, I don't even know if he'll be able to hold down a job. That money was there to give him the life he should have," she told Radio 4's Money Box.
"I can't afford to keep him forever and if anything happens to me that money was there for his future".
She said she hoped the review would change the accusation that the investors were at fault for losing their money. She has only received a fraction back in compensation.
"It [the FCA] should have protected us," she said. "The whole system is at fault, and wrong." "
How hard is it? If you want no risk, get a bank account and accept you'll get very little interest. If you put all of your money into something like this, you really have to accept that you could lose it when you do your risk assessment. She must have heard "if it sounds too good to be true....." at some time in her life before now!
"among those who lost money invested in LCF was Amanda Cunningham, who had put decades worth of savings into the scheme - for her son's future.
"He [her son] suffers with autism, I don't even know if he'll be able to hold down a job. That money was there to give him the life he should have," she told Radio 4's Money Box.
"I can't afford to keep him forever and if anything happens to me that money was there for his future".
She said she hoped the review would change the accusation that the investors were at fault for losing their money. She has only received a fraction back in compensation.
"It [the FCA] should have protected us," she said. "The whole system is at fault, and wrong." "
How hard is it? If you want no risk, get a bank account and accept you'll get very little interest. If you put all of your money into something like this, you really have to accept that you could lose it when you do your risk assessment. She must have heard "if it sounds too good to be true....." at some time in her life before now!
ked.bad company said:
Little wonder, then, that so many of the financially naive / inexperienced folk fell for it!Cliftonite said:
bad company said:
Little wonder, then, that so many of the financially naive / inexperienced folk fell for it!ellroy said:
Further evidence of the regulator being unfit for purpose.
Is it? You won't catch me generally defending the FCA but in this instance they made it very clear from the outset that minibonds were not covered by the FSCS and never would be, the same as P2P or cryptos. At the same time there are thousands of financial articles telling people not to speculate on products they don't understand or to put all their eggs in one basket, or to think that a product offering 10% possible return in an environment of zero rates is remotely low risk etc.
LCF is the tip of the iceberg as to what punters have been doing with their savings.
We could blame crooked IFAs but if you removed all IFAs there would still be end consumers being complete idiots and then trying to tell anyone who will listen that it's all someone else's fault.
It's a hideous, depressing mess but it cannot be swept away under the umbrella of the regulator being unfit for purpose.
putonghua73 said:
I recall DA frothing at the mouth at the incompetence of both the FCA and its then head, Andrew Bailey.
The man who succeeded Mark Carney as Head of the Bank of England, none other than Andrew Bailey.
Indeed. A man sacked upwards like it's the Catholic Church. The man who succeeded Mark Carney as Head of the Bank of England, none other than Andrew Bailey.
I've been frothing for even longer about non FSCS 'investments'.
DonkeyApple said:
We could blame crooked IFAs but if you removed all IFAs there would still be end consumers being complete idiots and then trying to tell anyone who will listen that it's all someone else's fault.
What's your opinion about the proposed compensation scheme for investors?DonkeyApple said:
We could blame crooked IFAs but if you removed all IFAs there would still be end consumers being complete idiots and then trying to tell anyone who will listen that it's all someone else's fault.
This. From observation of my peers (mostly professionals who should know better!), friends, family and just the general public:
1- some are simply just bad with money / financial management
2- some are greedy and want the quick win without performing the appropriate due diligence
3- some are combination of 1&2.
The FCA can implement new measures, but its a wasted effort unless the consumer / general public change their behaviour too.
Edited by chip* on Monday 21st December 13:01
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