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76% of Britons fail to check credentials before following financial advice

Zable research found only 24% of people would check a financial professional’s credentials before following advice, as more consumers turn to unregulated sources including social media, AI tools and online forums.

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76% of Britons fail to check credentials before following financial advice
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A worrying 76% of Britons would not check a financial professional’s credentials before following advice, according to research from Zable.

The credit card provider said the findings raised concerns about how consumers assess the reliability of financial information at a time when money guidance is increasingly available through unregulated sources, including social media, AI tools, online forums, family and friends.

The survey of 2,000 UK credit card holders found 83% had sought financial guidance from non-regulated sources. Usage was highest among younger generations, with 93% of 25 to 34-year-olds and 92% of 35 to 44-year-olds saying they had used unregulated financial advice sources.

Zable also found that more than 25 million Britons do not feel confident cross-checking financial advice before making decisions. Gen Z adults aged 18 to 24 were least likely to verify advice from AI sources and social media platforms, with just under 80% saying they did not feel confident when it came to cross-checking.

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The research found 68% of consumers do not check the risks involved before acting on financial advice, while only 22% would investigate whether advice may be influenced by sponsorships, commissions or conflicts of interest.

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Zable said the findings were particularly concerning given the growing influence of online financial content, including “finfluencers” on platforms such as TikTok, where complex financial topics are often simplified.

The most common area where consumers sought unregulated advice was salary and wages, at 54%, followed by savings at 49%. Insurance, monthly budgeting and pensions each stood at 48%, while 46% had sought unregulated advice on credit cards, 45% on investing, 43% on financial planning and 36% on mortgages.

The research also found poor advice was already costing consumers money. Almost a third of credit card holders, at 29%, equivalent to more than 10m people, said they had lost money after receiving bad advice relating to credit cards.

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Zable found 21%, equivalent to nearly 7.5m people, had lost £100 or more in the past 12 months as a result of poor credit card advice.

Mortgage-related advice carried greater financial consequences, with the most common reported loss range between £500 and £1,000.

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Around 1 in 10 credit card holders said they already use AI tools for financial advice across areas including budgeting, investing and insurance. Zable said its own testing of Gemini, Grok, ChatGPT and Claude found most tools defaulted to US-focused advice that did not apply to UK consumers.

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The testing found Claude performed best overall with 6 passes, although some responses still included outdated UK information. Grok failed all 9 questions tested, while ChatGPT achieved 2 passes and Gemini 3.

Arielle Rogers-Jenkins, senior product manager for UK credit cards at Zable, said: “When searching for financial advice, starting with regulated or official sources such as financial advisers, banks, building societies, and government-backed guidance services is key, as these organisations are held to specific standards and accountability in the UK.

“For those making more complex decisions around investing, mortgages, pensions, or long-term financial planning, speaking to a qualified financial adviser can help ensure advice is tailored to individual circumstances.

“Consumers can also verify that advisers are authorised by the Financial Conduct Authority (FCA) through the FCA Register and confirm businesses are legitimately registered through Companies House.

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“While AI tools, forums, podcasts, YouTube videos, and social media can be useful for building financial understanding, this type of content is often generalised and should always be researched further before acting on the advice.

“A lot of advice online, particularly on social media, could be linked to sponsorships, commissions, or product promotions, so it’s important to seek clarification and avoid making financial decisions under pressure.”

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