Almost two dozen influencers giving financial advice on social media are being interviewed under caution by the Financial Conduct Authority (FCA).

The FCA said those being interviewed were doing so voluntarily. 

Known as “finfluencers” (financial influencers), they are being warned about what advice they give to the often younger and impressionable people who follow them online.

Nearly two-thirds (62%) of 18 to 29-year-olds follow social media influencers, with three-quarters (74%) of those saying they trust their advice and nine in 10 young followers saying they have been encouraged to change their financial behaviour as a result, the FCA said.

However, it raised concerns about the promotion of credit lending and debt solutions.

The watchdog has been investigating influencers who promote foreign currency and investment products used to bet on the price of an asset (known as CFDs).

Steve Smart, joint executive director of enforcement and market oversight at the FCA, said: “Finfluencers need to check the products they promote to ensure they are not breaking the law and putting their followers’ livelihoods and life savings at risk.”

When investing, it is wise to check if a company is FCA-regulated – this gives you some protection if it’s a scam.