EU SWEEP OF CONSUMER CREDIT WEBSITES EXPOSES UK
11 Jan, 2012
Robin Fry (pictured) commercial services partner at DAC Beachcroft comments on today’s release of the EU’s Consumer Credit sweep data: http://europa.eu/rapid/pressReleasesAction.do?reference=IP/12/6&format=HTML&aged=0&language=EN&guiLanguage=en that shows the UK falling short compared to the 27 other member states.
“Under the Consumer Credit Directive, any advertising which indicates an interest rate must include certain standard information together with a worked example.
“All these ads – including website pages – must use plain and intelligible language. But all too often it seems suppliers of consumer credit are failing.
“It’s serious for the companies involved because their licences can be withdrawn and criminal proceedings brought.
“The Office of Fair Trading (OFT) has said that it is only relaxed about non-compliance if there are genuine misinterpretations which are not designed to mislead consumers and are not capable of causing detriment will be viewed differently from clear and deliberate breaches which do mislead or harm consumers.
“Britain has been generally seen to be scrupulous about ensuring that financial promotions are fair and compliant. It’s both embarrassing and alarming that it’s been left to the EU to tell us that some 80% of the websites they looked at from the UK were of concern. More websites from the UK are to be followed up than those from any other of the 29 countries checked apart from Belgium.”