FMA are concerned that Compare Fixed Term Deposits (CFTD) may be operating a scam.
It operates a website claiming to offer consumers a way to compare all registered and regulated fixed income investments in New Zealand and find the highest rates.
This website states that it is “fully insured and asset backed by the provider,” however no such scheme is currently offered in New Zealand.
There is also no evidence to support the claim that its “recommended partners” are authorised or regulated by the Financial Markets Authority (FMA).
We have seen an increase in the number of investment scam victims reporting that they have put personal details into comparison websites such as CFTD and then been contacted by individuals purporting to be from well-known banking institutions such as Citibank or HSBC.
We believe this website site is a front used to collect personal information from New Zealanders, which then enables the overseas scammers to contact them with fictitious investment opportunities.
Some victims have lost hundreds of thousands of dollars to these schemes.
We recommend New Zealanders exercising extreme caution when dealing with this entity and not provide it with any personal information.
Entity name: Compare fixed term deposits