Santander raises PPI provision | Business |

Santander has increased its provision for the mis-selling of payment protection insurance (PPI), adding to the mounting cost of the scandal for the banking industry.

The £65m additional cost to the UK arm of the Spanish bank dented its first half profits, which were also knocked by a series of other provisions such as £304m for an IT upgrade, but benefited from changes to the pension scheme.

Ana Botín, chief executive of the UK business, said 45% of the complaints being received for PPI were from customers who had never had a policy from the bank and warned that the situation could force further provisions in the future.

It took its first provision for PPI in June 2011, for £751m, and has received claims from 323 separate claims management companies.

Botín, who is preparing the business for a stock market flotation, said one in four customers switching their current accounts were moving to Santander, which has embarked on a high profile advertising campaign of its 123 current account.

via Santander raises PPI provision | Business |


Parking wardens on £3k bonuses urged to issue scores of tickets daily and target the vulnerable | Mail Online

Cowboy parking wardens earn up to £3,000 a month in bonuses, it is claimed

Leaked emails show bosses at firms push staff to issue scores of tickets daily

Wardens allegedly using a vile array of ‘dirty tricks’ to boost their pay

Some have been ordered to target patients outside cancer wards knowing they are likely to be distracted and late returning to car

via Parking wardens on £3k bonuses urged to issue scores of tickets daily and target the vulnerable | Mail Online.


Do you have to pay car park fines? – Telegraph

More than 10 million parking tickets were issued in Britain last year, the equivalent of around 890,000 a month – or 1,200 an hour.

Councils are expected to raise more than £600m in parking penalties for the financial year just ended. On top of this, private firms rake in unknown further millions by issuing their own charges to the parking public.

Private companies are again in the spotlight for unfair and harsh ticketing, accused of chasing car owners for minor infringements – or where there were no infringements at all – and issuing unreasonably large charges and threats. Do you have to pay? What happens if you don’t?

Our Q&A answers all the fundamental questions you need to know.

via Do you have to pay car park fines? – Telegraph.


Three more payday loan adverts banned following Citizens Advice complaint

Three payday loan adverts have been banned today by the Advertising Standards Authority following a complaint made by Citizens Advice earlier this year.

The adverts from Peachy, Loan Monarch and Spends4u cannot be shown again in their original form because they were deemed either misleading or irresponsible.

Four out of the seven payday loan adverts Citizens Advice reported to the ASA in March 2014 have now been banned. Just last week the ASA upheld a complaint from Citizens Advice about an advert by Pounds to Pocket.

Earlier this month payday lender Wonga said it would no longer use puppets in its advertising.

Citizens Advice Chief Executive Gillian Guy said:

“These payday loan adverts mask the grim reality of debt. Taking out a short-term, high-cost loan should not be taken lightly. But all too often adverts present them as an easy option and suggest people’s financial circumstances don’t matter. This is utterly irresponsible and misleading.

“With four payday loan adverts banned within a fortnight, it is clear the payday loan industry needs to up its game when it comes to the quality of its advertising. Lenders should look again at their marketing materials to see if they are fair and responsible.

“The success of our complaint demonstrates that consumers can fight back against inappropriate adverts. If you believe a payday loan advert to irresponsible or misleading you can report it to Citizens Advice or the ASA directly.”

The ASA agreed with Citizens Advice that:

The sandwich wrapper which says ‘cheaper than payday loan’ is misleading; and the phrase ‘small bits puts a smile on your lips’ and the cartoon image are irresponsible.

A text message from is irresponsible because it encourages customers who had been refused loans elsewhere, due to their financial circumstances, to take out a loan.

A text message from ad is irresponsible, because it encourages consumers to take out a loan, regardless of their financial circumstances. It was also ruled the ad is misleading because it implies consumers can be accepted for a loan, regardless of their financial circumstances.

via Three more payday loan adverts banned following Citizens Advice complaint.


Three more payday loan ads banned ( Cash On Go Ltd, Sandhurst Associates Ltd and HotPond Media Ltd ) – for being socially irresponsible, – Advertising Standards Authority

Today (30 July 2014) we banned a further three payday loan adverts, by Cash On Go Ltd, Sandhurst Associates Ltd and HotPond Media Ltd, ( ) for being socially irresponsible, reasons included encouraging a casual attitude toward taking a loan and condoning borrowing for those who might not be able to manage repayments to take out a loan. The complaints were lodged by Citizen’s Advice, and form part of our on-going commitment to ensuring that payday loan ads are socially responsible.

Payday loan advertising has attracted concern across society, including Government, media, consumer protection bodies and the public as the use of short-term, high-cost credit increased during the economic downturn. That’s why regulators, consumer bodies and industry have been working to drive up standards in the sector.

In addition to the work we’ve carried out, our sister bodies, the Committees of Advertising Practice (BCAP and CAP) which are responsible for writing and maintaining the Advertising Codes, have been working to ensure that the Advertising Codes provides adequate protection for consumers.

In October 2013, CAP published updated guidance for payday loan advertisers on what they need to do to ensure that their ads are socially responsible. In June 2014, BCAP announced a review into how the advertising rules are being applied to payday loan advertising appearing on TV to ensure that young people, in particular, continue to be protected. The outcome of this review will be communicated this autumn.

More widely, there’s been a clamp down on misleading and socially irresponsible practices within the payday loans sector. Only last week the Financial Conduct Authority (FCA), regulator of the financial services industry, revealed its plans for a cap on the amount that payday lenders can charge their customers. While one of the biggest operators in the sector Wonga declared it would no longer use puppets in its advertising, and would be looking at the scheduling of its advertising as part of a wider review of its business.

We’re committed to ensuring that the right levels of protection are in place for consumers and vulnerable groups, so that ads are appropriate and don’t cause harm. We’ll report on the outcome of the BCAP review shortly.

Other payday loan rulings

Pounds to Pocket (23 July 2014)

Think Finance (UK) Ltd t/a Sunny (9 July 2014)

Nouveau Finance Ltd t/a Payday Unlocked (14 May 2014)

via Three more payday loan ads banned – Advertising Standards Authority.