Advertising & Marketing

Advertising and marketing in the consumer credit industry is strictly controlled.  Whether you are advertising in a newspaper or online, marketing by way of SMS or email, or conducting tele-canvassing you must ensure that your activity is legally compliant.  Different rules apply depending on the type of marketing activity you are undertaking and what type of service you are offering.

Consumer credit adverts are controlled by the Consumer Credit (Advertisements) Regulations 2010, also known as the ‘Advertising Regulations’ but are also subject to the Consumer Protection from Unfair Trading Regulations 2008 and will also need to observe certain requirements set out in the Consumer Credit Act 1974.  The Department for Business Innovation and Skills have produced guidance on the requirements of the Advertising Regulations on page 21 of their Guidance to the Consumer Credit Directive.  Guidance on the Consumer Protection from Unfair Trading Regulations can be found in the Office of Fair Trading guide.  SMS, email, voice broadcast, websites and all traditional advertising media will amount to a consumer credit advert if they advertise the availability of a regulated consumer credit agreement.

If you are marketing by way of SMS, email or voice broadcast you will also need to comply with the requirements of the Privacy and Electronic Communications (EC Directive) Regulations 2003.  Guidance on those regulations is available in the Information Commissioner’s guide.  If you are operating a website it will need to comply with the Electronic Commerce (EC Directive) Regulations 2000 which require certain information about your business to be recorded on the website.

Failing to comply with the compliance requirements of advertising and marketing can lead to not only investigation by the Office of Fair Trading or Trading Standards but may also lead to an adjudication by the Advertising Standards Authority.

If you need help in preparing or reviewing your marketing activity place please visit www.scottrobertllp.com for professional support or contact Scott Robert LLP on 0844 736 5327.