‘Fair deal’ finance promise from banks on savings accounts and life insurance policies
Kitemarks: The Government is desperate to rebuild trust in financial services sector
Banks will soon sell ‘safety-approved’ savings accounts and life insurance policies that promise not to rip off customers.
In a bid to restore trust between the public and a tarnished banking industry, the Treasury is introducing a ‘kitemark’ badge of quality for simple financial products – acting as proof of no hidden charges, dodgy terms and conditions, or sneaky bonus interest rates that later disappear.
The Government is desperate to rebuild trust in the financial services sector after years of mis-selling scandals.
It wants consumers to be able to make basic financial arrangements without fear of being ripped off.
Savings accounts with complex tiered rates of interest or tempting introductory bonuses will not qualify for the new safety kitemark.
A spokesman for consumer group Which? says: ‘We want to see clearer, concise and jargon-free information so that consumers can compare products more easily, and get a fair deal.’