News Article Published:
Friday, 20 July 2007
Category:
Financial Services
The Financial Services Authority (FSA) has said that the "largest single category of complaints that it receives are regarding misleading mortgage advertising on the web".
Spokesperson Robin Gordon-Walker said that mortgage regulations are relatively new and the process of selling differs from other financial products because it is a loan, not an investment in the company from the customer.
Yet brokers should still ensure that their advertising is compliant, said Mr Gordon-Walker.
"Financial promotion rules...apply whether it's a mailshot, or advertising in newspapers, or promotion online. And that of course comes under the general requirement that the promotion or advert should be fair, clear and not misleading."
He said: "They have to make sure that what they're saying on their website…is right, is fair, it's certainly got to be clear and it must not mislead…The point is, it's not different because it's [on] the web rather than, say, a letter or an advert in a newspaper. So people have to stick to that. That's what we call a high-level rule.
"There has been some good progress but we're still concerned about the financial advertising of some firms."
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