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Unfair contracts flout TCF |
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 A review from the Financial Services Authority has found that firms are still drafting unfair contract terms, directly going against the principle of Treating Customers Fairly.
Over half of the contracts reviewed by the FSA contained at least one variation term, which allows firms to impose changes without prior or express agreement from the customer.
The FSA has issued a report today which serves as a reminder to firms that contract terms are key to the fair treatment of customers.
Dan Waters, director of retail policy and themes at the FSA, says: “The results of this review are disappointing. A contract sets out the relationship between a firm and its consumers, so if a contract contains unfair terms it can provide evidence that a firm is failing to treat its customers fairly.”
Waters adds: “In particular, we expect firms to be proactive in reviewing their contracts and to have adequate systems and controls in place to ensure their contract terms are drafted fairly.” Source: http://www.mortgagestrategy.co.uk |
