My pick of last week’s news is the dull-sounding Consultation with the Advertising Standards Authority over Universal Credit adverts. Two weeks ago the story that DWP adverts had been found to be misleading was big news. This new article shows the DWP had been told this by the ASA before they ran the adverts.
In Black Friday week, a couple of articles on shopping addiction:
- From broken relationships to £8,000 credit card debt, three women reveal how shopping addiction ruined their lives Sun: Experts claim shopping addiction should be classed as a mental-health issue, and argue that the rise in cases has been fuelled by online retailers making it easier for us to spend more.
- My Insta-Worthy Lifestyle Got Me Into £27,000 Debt Refinery 29: “you can see the level of debt go up from £5 to £25,000 very quickly in 2017.”
High cost credit:
- 247 Money Box goes into administration Company website. They were a mid-size payday lender.
- Amigo’s half year results – the rising cost of paying refunds to customers My article. Amigo expects its complaint uphold rate to fall – I suspect that will be a surprise to FOS and the FCA
- It’s been dubbed a legal loan shark by MPs, and now there is fresh alarm as Amigo hires more staff to chase down borrowers Mail: Controversial lender Amigo is hiring more call centre staff to chase struggling borrowers after a surge in the number of people falling behind on repayments.
What do the parties’ election manifestos offer for people in problem debt? StepChange’s summary.
Katie Price declared bankrupt at High Court BBC: the insolvency practitioner overseeing her IVA said she had failed to keep to the terms of the agreement.
Million universal credit households ‘do not get full entitlement’ Guardian: 60% of everyone receiving the payments –are having their benefits cut to repay debts and loans.
Over 115,000 HSBC and Santander customers owed overdraft charge refunds MSE: A legal order from the CMA has meant banks must alert customers who go into an unarranged overdraft before they’re charged. This gives them the chance to pay into their account and avoid being hit with a fee. But HSBC has broken this order twice, while Santander breached it six times.
Millions of self-employed struggle to get a mortgage because banks don’t understand their work, experts warn Mail: Lenders take the view that a person running a business that employs 50 people is a bigger risk than any of the 50 people employed in that same business and will charge them more on their mortgage rate consequently.
Small business debt:
- HBOS compensation report delayed for a second time Times (paywall): A review into a contentious Lloyds Banking Group compensation scheme for business owners damaged by a banking fraud has been delayed for the second time.
- Thousands of UK firms may face debt over ad deal BBC: Most businesses did initially receive some payments from the advertising, but these stopped when Viewble Media collapsed in June.
Benefits & other news
Consultation with the Advertising Standards Authority over Universal Credit adverts WhatDoTheyKnow: An FOI request reveals that the DWP asked the ASA about its Universal Credit adverts before they were published and the ASA said they did not make it clear enough that they were adverts.
Halifax joins HSBC in letting customers block cards from gambling Guardian: Block is designed to prevent problem gamblers betting money they can’t afford to lose.
Whistleblowers: funeral firm described customers as ‘gazelles’ to be hunted Guardian: One customer said he received 57 calls in a week.
Temporary intervention on the marketing of speculative mini-bonds to retail investors FCA: We are using temporary product intervention powers without consultation because of our significant concerns with the widespread marketing of these products, particularly online, despite them being high risk and difficult for most retail investors to understand.
South Lanarkshire town that was left with no banks The Herald: The effects on people, often vulnerable, and small businesses.