Financial Promotions Assets

The Financial Conduct Authority (FCA) defines a financial promotion as ‘an invitation or an inducement to engage in an investment activity that is communicated in the course of a business’. In other words, it means any advertisement about financial products or services. This includes anything that promotes, invites or seeks to persuade a customer to take out a credit product such as:

• Printed adverts

• Brochures

• Social Media

• Websites

• Conversations with customers, i.e ‘Real-time financial promotions’

1. It’s ethicalA

Promotion may be the only source of information on which customers base their decision. It is important that we give the customer the right information at the right time and treat them fairly.

2. It’s saferIf

the customer chooses an unsuitable product, the potential for harm is greater due to the complex and often long-term nature of financial products.

3. It’s the law

We have a legal obligation to pay due regard to the information needs of customers, and communicate with them in a clear, fair and non-misleading way. The FCA consider materially misleading advertisements as a criminal breach of the Consumer Protection from Unfair Trading Regulations 2008.

Ownership of financial advertising compliance sits with the Marketing, Social Media and Consumer Financial Services teams designing and approving the promotions. It also lies with any Risk and Compliance teams who sign off on promotions.

Along with this guide, DivideBuy also provides training for all your employees who are involved in promoting your credit solution – helping protect your team, your customers and your business.