A FAIR TRADING COMMISSION (FTC) investigation has uncovered several “unfair terms” in loan and other contracts that commercial banks have been presenting to their customers.
This revelation came yesterday from the FTC as it released the findings of two investigations – one relating to standard form contracts used by commercial banks and the other into local banking fees and charges.
Bank customers have been publicly complaining about new and increasing fees as well as contract terms that were tipped heavily in favour of financial institutions.
The FTC said that after an investigation under the authority it possessed in the Fair Trading Commission and the Consumer Protection Acts, it waded through 1 291 contract terms used by the five commercial banks.
What the FTC turned up were at least 56 contract terms that “were in breach of the Consumer Protection Act”.
