Customers of RMR Financial Services Ltd (RMR), trading as Compass Debt Counsellors, should be aware that the firm has stopped trading, and that they can obtain free and impartial advice on dealing with their debts.
RMR Financial Services Ltd, formerly trading as Compass Debt Counsellors, has stopped trading and no longer offers debt management services.
The firm’s interim permission from the FCA, which firms must have if they wish to offer debt management services, lapsed on 8 March 2016. RMR’s bank accounts have been frozen. This means that the firm will not be requesting direct debits from clients’ accounts and standing order payments will be rejected and returned to customers’ bank accounts.
AABRS Ltd (insolvency practitioners) was appointed as liquidators at a meeting of RMR's creditors on 30 March 2016.
This is an evolving situation and during the transitional period we would expect creditors that are authorised by us to show forbearance.
What you should do next
Customers who need advice on outstanding debts can contact the Money Advice Service. The Money Advice Service is a free and impartial service set up by government. You can contact them online at www.moneyadviceservice.org.uk/debt-management or by phone on 0300 330 2222. Calls cost no more than a standard UK-wide number. The Money Advice Service will be able to discuss your situation with you for free and could help you to set up a similar arrangement to manage your debts.
RMR may have sold or passed on your details to other fee-charging debt management companies. These new firms may try to take over the services provided by RMR. You do not have to transfer to the new firm. If this happens, the new firm should contact you to get your agreement – you should be asked whether you are happy for another firm to take over your plan. Any firm that does contact you should also tell you that free and impartial advice is available from the Money Advice Service. They are also required to reassess the best debt solution for you.
If you have set up a direct debit with RMR it will be cancelled. Customers who pay RMR by standing order are advised to contact their banks to cancel the arrangement.
The liquidators, AABRS Ltd, will gather as much information as possible from creditors and former clients of the firm about payments made to, or owed by, the firm. Former customers of RMR who believe that they are owed money by the firm should contact AABRS Ltd as soon as possible.
You can contact AABRS Ltd via email at [email protected] or by post at:
AABRS Limited
Langley House
Par Road
East Finchley
London
N2 8EY
They will ask you to provide the following information:
- client reference number
- copy of the signed agreement initially entered into with RMR Financial Services Ltd (trading as Compass Debt Counsellors)
- full name
- address and contact details
- brief summary of claim
Customers can also contact our Consumer Helpline for further information.
What we are doing
We have written to all affected RMR customers to advise them of the free help and advice that is available to them.
We are reviewing all firms in the debt management sector to consider whether they should be authorised to engage in regulated activity, including offering debt management plans. We refuse to authorise firms that do not demonstrate that they meet our minimum standards or follow our principles, particularly in relation to treating customers fairly. As part of this work, we are engaging with debt management firms, trade bodies, banks and creditor organisations to ensure that customers who are affected by firms leaving the debt management market are treated fairly.
Find out more about how we are working to protect consumers in this market.
Further information
We took over regulation of consumer credit, which includes debt management firms, on 1 April 2014.
Please note that the Financial Services Compensation Scheme is not available to customers of consumer credit firms which failed before 1 April 2018.
Page updates
26/04/2019: Information added Updated final paragraph