moneysupermarket.com: Changes to the Banking Code

Commenting on the forthcoming changes to the UK Banking Code from March 2008, Kevin Mountford, head of savings and current accounts at price comparison site moneysupermarket.com, said: "This is all excellent news for consumers, many of whom have been at the mercy of big institutions for too long. The increased focus on helping consumers overcome financial difficulties is absolutely right given the escalating debt crisis we have seen over the last couple of years, and recognises the ease of obtaining credit – banks must play their part in ensuring these credit lines are not so wide open in future. There needs to be a step-change in attitude from ‘buy now pay later’ to ‘save for it’ and we believe these measures will help move this along.

“The Code will also prohibit current account closures where a customer has made a complaint and again, this is something we applaud – how can consumers have any rights if they are unable to air their grievances?

“We have long believed that regulation should be modernised and reflective of real-life practices and situations – as part of this, education and tangible support for consumers is vital.”