ASA clamps down on text message ad from PPI Careline

The Advertising Standards Authority has banned an advertisement from Manchester-based claims management firm PPI Careline for being misleading.

A text message it sent in June 2011 stated - “Urgent! If you took out a bank loan prior to 2007 then you are almost certainly entitled to £2,300 in compensation. To claim reply YES”.

Complainants challenged whether the text was sent unsolicited and exaggerated the likelihood of receiving compensation. The ASA also considered whether the message breached its code because it omitted the identity of the marketer and did not include an opt-out mechanism.

PPI Careline claimed it was provided with a small number of text leads from a firm that assured it were sent solicited, provided an opt-out mechanism and omitted the amount of likely compensation. It also claimed it no longer bought text leads and had no intention to do so in future.

But the ASA concluded it is the responsibility of the advertiser to ensure text messages are compliant with its code. It found that because the text was sent unsolicited and did not include an opt-out, it breached its database practice rules. Also, the claim of £2,300 compensation could not be substantiated.

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