ASA upholds complaint against Unfair Credit Direct ad

The Advertising Standards Authority has upheld a complaint against a firm called Unfair Credit Direct which claimed that credit agree-ments may be unenforceable with an advertisement headlined ’Mis-sold Mortgages.’

The text in the national press advert read: “Your unsecured loan & credit card agreements may be unenforceable? Call us now to find out! Do you know that through brand new legislation 70% of credit agreements may be unenforceable?”

A complaint was lodged on the basis that the above statement was misleading, challenging whether the claim could be backed up.

The ASA also questioned if the advert should have made clear that there was a fee for using the advertiser’s services.

In response, Unfair Credit Direct says the claim that “70% of credit agreement may be unenforceable” was based on its own research and that it used the word “may” to allow for the fact it may not be correct.

The firm said it did not charge upfront fees but did charge a fee once it could progress with con-testing a client’s agreement.

The ASA says it had not seen evi-dence that supported the 70% claim and that the advert should have made clear a fee would be payable.