Credit cards
Credit card firms have been told by a committee of MPs to offer consumers clearer information and a fairer deal.
The Treasury select committee's report into the credit card market said card penalties should be reasonable and interest rate charges made clear.
The report also called for less small print on loan agreements and for lenders to swap more customer records to stop people racking up huge debts.
But the report noted that the industry had taken steps to improve matters.
Party Response: Liberal Democrats
Norman Lamb, Liberal Democrat Treasury spokesman, said: "This report acknowledges that significant progress has been made but there is still a long way to go.I have concerns about the scale of charges for breaching overdraft limits and missing payment deadlines.
"The next big issue for banks is to apply the same principles of transparency to bank accounts, where customers are still kept unacceptably in the dark over charges."
Stakeholder Response: National Consumer Council
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"NCC and other consumer groups are already lobbying for amendments to the Consumer Credit Bill to fill the gaps- on clearer information about interest and calculation methods, comprehensive data sharing by credit card companies and a ban on unsolicited credit card cheques.
"Today's report is a timely alert to government. It must trigger urgent action, otherwise the full potential benefits of fairness and clarity promised by the new credit laws are at risk."
Stakeholder Response: Which?
"We repeat our calls for a standardised method of calculating interest, for lenders to share full customer credit history between them to ensure responsible lending, for more openness over charges and an end to unsolicited credit card cheques."
Stakeholder Response: APACS
Sandra Quinn, communications director of the Association of Payment Clearing Services (APACS), said: "Lenders were committed to giving consumers a fairer deal.
"It is good that the committee have recognised the strides the industry has taken in improving transparency for consumers but we are not surprised they have given us more to do. We will look at what the report says and work hard to resolve the issues raised."
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