Menu
27/10/2009
Credit Companies Must 'Give Consumers A Better Deal'
The Government has today announced new proposals to ensure that credit and store card companies give people a fairer deal.
Consumer Minister Kevin Brennan said card companies have to "get their act together" in order to help consumers.
"The Government is putting forward new measures today which we believe will give consumers a better deal. I want to hear from the most important people, the customers, about their experiences and to get their views on our proposals.
"My opinion is clear, the current relationship between card companies and consumers cannot go unchallenged. We need to put the customer back in the driving seat," he explained.
"It is not acceptable for card companies to impose complex and confusing terms and conditions that can leave people baffled, or to increase interest rates without a proper explanation. Consumers have a real responsibility to manage their finances properly, but they also have a right to clear information to enable them to do that. Consumers should not feel each month as if they’ve been exploited or disadvantaged."
The Government today published a consultation document giving the detail of proposed changes in the law on repayment policies imposed by credit and store card providers. The consultation builds on action already taken by the Government. It examines:
"We think it's simply wrong to entice people into spending more than they can afford and then to squeeze as much money out of them as possible."
The credit and store card consultation runs until January 19 and people can read the proposals and register their views at:www.bis.gov.uk/creditconsultation
(GK)
Consumer Minister Kevin Brennan said card companies have to "get their act together" in order to help consumers.
"The Government is putting forward new measures today which we believe will give consumers a better deal. I want to hear from the most important people, the customers, about their experiences and to get their views on our proposals.
"My opinion is clear, the current relationship between card companies and consumers cannot go unchallenged. We need to put the customer back in the driving seat," he explained.
"It is not acceptable for card companies to impose complex and confusing terms and conditions that can leave people baffled, or to increase interest rates without a proper explanation. Consumers have a real responsibility to manage their finances properly, but they also have a right to clear information to enable them to do that. Consumers should not feel each month as if they’ve been exploited or disadvantaged."
The Government today published a consultation document giving the detail of proposed changes in the law on repayment policies imposed by credit and store card providers. The consultation builds on action already taken by the Government. It examines:
- Changing the rules that set out the order in which debts built up on a credit card are paid off.
- Raising the minimum monthly repayments levels to encourage people to pay off their debt faster.
- Banning the practice of increasing credit limits without prior consent.
- Placing restrictions on increasing the interest rate on existing debt.
"We think it's simply wrong to entice people into spending more than they can afford and then to squeeze as much money out of them as possible."
The credit and store card consultation runs until January 19 and people can read the proposals and register their views at:www.bis.gov.uk/creditconsultation
(GK)
Related UK National News Stories
Click here for the latest headlines.
08 October 2003
M&S backtracks over &More credit card after OFT probe
Marks and Spencer Financial Services (MSFS) has changed the way it will offer to replace its store cards by the &More credit card after action by the Office of Fair Trading. MSFS had sent out letters to many card holders saying that its store card would automatically be replaced by the &More credit card unless card holders objected.
M&S backtracks over &More credit card after OFT probe
Marks and Spencer Financial Services (MSFS) has changed the way it will offer to replace its store cards by the &More credit card after action by the Office of Fair Trading. MSFS had sent out letters to many card holders saying that its store card would automatically be replaced by the &More credit card unless card holders objected.
11 March 2004
Consumers and lenders could do more to consolidate debts: OFT
Better financial awareness among consumers, and clear, accurate and relevant information from credit providers are required to make the use of debt consolidation fairer and more transparent, according to a study from the Office of Fair Trading (OFT) published today. The OFT has estimated that, in 2002, £32 billion of unsecured lending and £8.
Consumers and lenders could do more to consolidate debts: OFT
Better financial awareness among consumers, and clear, accurate and relevant information from credit providers are required to make the use of debt consolidation fairer and more transparent, according to a study from the Office of Fair Trading (OFT) published today. The OFT has estimated that, in 2002, £32 billion of unsecured lending and £8.
22 August 2013
Customers To Be Reimbursed Following Mis-Sold CPP Card Protection
The Financial Conduct Authority (FCA) has reached an agreement with Card Protection Plan Limited (CPP) and 13 high street banks and credit card issuers, that will pave the way for redress to be paid to customers who were mis-sold CPP's Card Protection and Identity Protection policies.
Customers To Be Reimbursed Following Mis-Sold CPP Card Protection
The Financial Conduct Authority (FCA) has reached an agreement with Card Protection Plan Limited (CPP) and 13 high street banks and credit card issuers, that will pave the way for redress to be paid to customers who were mis-sold CPP's Card Protection and Identity Protection policies.
12 December 2008
Credit Card Companies Agree To Play Fair
Credit card companies have agreed with Government to implement a new set of 'fair principles' that will help put an end to overnight hikes in credit card charges and give much-needed breathing space to borrowers struggling to repay their debts.
Credit Card Companies Agree To Play Fair
Credit card companies have agreed with Government to implement a new set of 'fair principles' that will help put an end to overnight hikes in credit card charges and give much-needed breathing space to borrowers struggling to repay their debts.
23 July 2003
'Fair deal' for loan repayers proposed
People who repay loans early will get a "fairer deal" under changes outlined by the government today. The government has found that around seven-in-10 personal loans are settled early, but people often have to pay big charges if they do so. The government wants to scrap the rules that penalise customers.
'Fair deal' for loan repayers proposed
People who repay loans early will get a "fairer deal" under changes outlined by the government today. The government has found that around seven-in-10 personal loans are settled early, but people often have to pay big charges if they do so. The government wants to scrap the rules that penalise customers.
-
Northern Ireland WeatherThis Evening and Tonight:Showers, scattered in the evening, will clear by midnight leaving the night dry with clear spells. Perhaps a touch of ground frost. Cloud will spread east towards morning. Minimum temperature 2 °C.
