Consumers are increasingly turning to AI for financial information. FCA research found that 56% of 18- to 40-year-old investors trust AI tools, while 44% mistakenly believe AI-generated financial information is regulated. Around 38% believe it is acceptable to make an investment decision solely from AI output, and 32% incorrectly expect FSCS or Financial Ombudsman protection if AI guidance goes wrong.
The findings are directly relevant to mortgage advice, particularly as reports point to first-time buyers receiving conflicting messages from social media, family and AI tools. Advisers should explain that general-purpose chatbots are not regulated financial advisers, encourage clients to verify information, and provide a clear route from online research to regulated, personalised advice.
- Use AI for education, jargon-busting and meeting preparation.
- Keep regulated recommendations, affordability assessment and final decisions under appropriate human oversight.
- Record how AI-generated material is reviewed before it is shared with clients.