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OFT and BBA propose 'fairer' banking codes
20/02/2007
The British Bankers' Association (BBA) and the Office of Fair Trading (OFT) have issued recommendations to make the industry more self-regulatory.
An independent review of business banking guidelines is currently being undertaken and the OFT said a new code should require financial services groups to provide advanced written notification to account holders before charges are withdrawn.
In addition, the body asserted that a new code of practice should take account of rules governing customer protection under the Consumer Credit Act 2000 as well as a directive on misleading practices.
"We aspire to a self-regulatory framework in UK retail banking that achieves sufficiently high levels of fair treatment of customers so that little or no external regulatory intervention is called for," commented John Fingleton, chief executive of the OFT.
Meanwhile, the BBA has issued its own recommendations for a new business banking code, which include improved guidance in a bid to tackle crime and enhance the security of customer accounts.
As chief executive of the BBA, Angela Knight also called for a separate code section issuing guidelines for basic bank accounts.
An independent review of business banking guidelines is currently being undertaken and the OFT said a new code should require financial services groups to provide advanced written notification to account holders before charges are withdrawn.
In addition, the body asserted that a new code of practice should take account of rules governing customer protection under the Consumer Credit Act 2000 as well as a directive on misleading practices.
"We aspire to a self-regulatory framework in UK retail banking that achieves sufficiently high levels of fair treatment of customers so that little or no external regulatory intervention is called for," commented John Fingleton, chief executive of the OFT.
Meanwhile, the BBA has issued its own recommendations for a new business banking code, which include improved guidance in a bid to tackle crime and enhance the security of customer accounts.
As chief executive of the BBA, Angela Knight also called for a separate code section issuing guidelines for basic bank accounts.