FSA issues sale and rent-back warning

Some schemes, known as sale and rent-back agreements (SRB), may actually leave consumers homeless, according to the judgment on the FSA's website. The regulator is specifically concerned about exchange with delayed completion (EDC) agreements and lease option products. EDC's are contracts where homes are sold with a completion delay of a number of years. Unauthorised firms mistakenly think they can avoid FSA regulation because the sale has not been fully completed, the regulator said. But dealing with such firms exposes consumers to "increased risks and no regulatory protections...