Central Bank warning over advertising

Financial services firms have been forced by the Central Bank to drop or amend misleading advertisements aimed at potential customers.

Since the start of the year a number of advertisers have been required to give balanced information when advertising financial products.

The Central Bank’s director of consumer protection Bernard Sheridan said: “The Consumer Protection Directorate’s strategy puts the consumer centre stage and our objective in relation to advertising is clear — consumers should receive balanced information on advertised financial products and services. The Central Bank expects firms to bear this in mind when designing their advertisements and in deciding what information to include.”

The Central Bank expressed concern that some advertisements had the potential to mislead consumers. They were concerned at the fairness clarity, accuracy and content of a number of advertisements, which they refused to identify.

The Central Bank has stated that the key information and eligibility criteria should be stated with the minimum price or potential maximum saving, in the main body of the advertisement and must be prominent. Firms must also be aware of the differing sizes of proposed advertisements, and consider how they may appear in their final formats.

All firms have been reminded, said the bank, of their compliance obligations and the need to make all necessary amendments to ensure compliance with the requirements of the code.