Facebook has removed any loan adverts that are deemed to be ‘pushing’ loans onto young people.
Credit Action states that adverts on the social networking site are offering cheap loans, in particular those secured against a salary or car. This is breaking advertising regulations.
“Lots of credit companies, especially payday and logbook loans companies, are using the medium [social networking] to advertise their products. It is such a popular method because they can target young people with whom the site is so popular,” commented the charity.
The adverts removed are mostly due to the fact that they contravene U.K. credit advertising regulations because they fail to give details of interest rates.
The Chairman of Credit Action’s board of trustees Malcolm Hurlston, says that while some adverts do meet the guidelines by displaying the rates of APR “they are only in the frequently asked questions section, and not prominently on the advert, which is what the rules require”.
Derek Hosewood writes for Loan Machine. Apply now for a Homeowner Loans at a competitive rate.
