OFT recommends credit card shake-up

Posted on 11 February 2008 by Charcol

Be the first to comment


Consumers should be helped to shop around when choosing a credit card, an Office of Fair Trading (OFT) report says.

Its recommendations include improving the information available to customers, and the setting-up of a credit card price-comparison website to be run by the Financial Services Authority.

The report is the result of the OFT's investigation into a co-called super-complaint brought by consumer group Which, driven by concerns that consumers choose credit cards without fully understanding their costs. Research commissioned by the OFT found that only 32% of users had compared the cost of cards when choosing their most recent one, while another 32% simply chose the card recommended by their bank.

"No-one wants to throw money away," said OFT chief executive John Fingleton, "but consumers who don't shop around for credit cards are doing just that."

"It is essential that consumers are given the right tools to make comparisons between credit cards more easily, and we can achieve this through some of the recommendations announced today."

Comments

Post a Comment

Please keep your comments relevant. Charcol reserves the right to edit or delete comments.

The blog postings on this site solely reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and John Charcol will not accept liability for them. We may contact you in response to your comment – by submitting your comment, you are consenting to this.

To find out more about how we collect, use and protect your data, please read our privacy policy.

Stay connected....

Association of Mortgage Intermediaries

Legal

YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY DEBT SECURED ON IT.

John Charcol is a trading name of John Charcol Limited and its Appointed Representatives. John Charcol Limited is authorised and regulated by the Financial Conduct Authority. The Financial Services Register number is 665649. Registered in England No. 9157892. Registered office address for John Charcol Limited is 5th Floor, Cutlers Exchange, 123 Houndsditch, London, EC3A 7BU. The FCA does not regulate some investment mortgage contracts. Calls may be recorded for training and monitoring.