The advert for Claims Warehouse appeared in the Metro newspaper and read “Do you have a credit card or loan with a balance of £1000+, or do you have a mortgage? If so, you may have an unfair credit agreement and may be entitled to thousands of pounds … Our solicitors specialise in challenging these agreements. In many cases they could be unenforceable.”
The ASA called on Claims Warehouse to substantiate its suggestion that credit agreements are unenforceable in a significant number of case by providing the percentage of loan agreements that are actually unenforceable, however the company failed to provide this information.
Because the information was not supplied the ASA concluded that the claim was not substantiated and therefore the advert was misleading and exaggerated the likelihood of the debt being written off.
The ASA also ruled that the the advert was misleading in that fees apply to the service, but this was not made clear in the text.
The ASA has banned the advert from reappearing in its current form.