Banks come under fire from FOS - papers 5th Feb

The FOS said guidelines in the Banking Code were weak and failed to give consumers the protection offered by other financial services companies. The warning follows a report on bank lending policies, which found fewer than one in 10 customers were asked for proof of their income before being offered a credit card. Figures last week showed the number of personal insolvencies rising above 100,000 in 2006 and consumer groups and opposition MPs are expected to push for government action, which could include putting pressure on banks to impose tougher lending criteria, says the paper. INFLATI...