Payday loan ad banned for focusing on Kerry Katona's financial troubles

Cash Lady: payday loan firm is rapped by ASA
Cash Lady: payday loan firm is rapped by ASA

Cash Lady, the payday loans firm, has been reprimanded by the ad watchdog for using Kerry Katona's financial difficulties to encourage people to borrow money.

The TV ad by Space City Productions featured singer Kerry Katona, who has previously filed for bankruptcy. In the ad she said: "We’ve all had money troubles at some point, I know I have. You could see your bank and fill in loads of forms, but is there an easier way to get a loan?"

The creative was slammed by the Advertising Standards Authority for being irresponsible and implying people facing bankruptcy could be better off using Cash Lady rather than going to their bank.

Cash Lady claimed the ad would not encourage people in Katona's financial situation or similar to borrow money.

Meanwhile, Clearcast defended clearing the ad before it was aired. It said the ad did not go into any details about Katona’s financial difficulties and made "no judgement on what sort of people should or should not take out such loans".

The ASA overruled these claims and decided the product in the ad would have been made more attractive to viewers with restricted credit by enabling them to identify with Katona.

Cash Lady, offers loans of up to £300. It was also censured for failing to make the annual percentage rate of 2670% more prominent in the ad.

The ASA has banned the ad and warned Cash Lady to take greater care with presenting information regarding its loans.

Cash Lady’s ad ban comes as the practices of payday loan firms come under increasing scrutiny as a campaign by Labour MP Stella Creasy gathers momentum.

Discussion

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Brand Republic Jobs

subscribe now

Latest

John Lewis walks consumers through its history to celebrate 150 years of business
Waitrose boosts content strategy with 'Weekend Kitchen with Waitrose' C4 tie-up
Hottest virals: Cute puppies star in Pedigree ad, plus Idris Elba and Fruyo
Amnesty International burns candles to illuminate new hope
Toyota achieves the impossible by calming angry Roman drivers
Tom of Finland's 'homoerotic' drawings made into stamps
YouTube reveals user habits to appeal to 'older' marketers
Ex-M&S marketing chief Steven Sharp consulting at WPP
Wolff Olins reveals new CEO after Apple poaches Karl Heiselman
Glasgow offers £30,000 prize to best digital idea for 2014 Commonwealth Games
Google's revenues surge but shares drop as it grapples with transition to mobile
Facebook beats Twitter to most 'marketing friendly' social media site crown, says DMA
Fableists believe children like Finn should be outdoors enjoying life
Homebase, Baileys and Camelot join the line-up at Media360
MasterCard renews Rugby World Cup sponsorship to push cashless message
Lynx unleashes £9m 'Peace invasion' campaign
Social Brands 100 Youth: Pizza Hut most social youth brand in UK
Cheryl Cole is wild and arresting in new L'Oreal work
Morrisons told not to show alcohol ads during YouTube nursery rhymes
O2 head of brand Shadi Halliwell departs after 23 years at company in restructure
Tesco hit by further sales decline as it turns to digital Clubcard and social network
Branding guru Wally Olins dies aged 83
Duracell short film captures epic Transatlantic voyage
Ash runs Tinder experiment to show smokers are less desirable to opposite sex
British Airways teams up with Gerry Cottle Jnr for summer of rooftop film screenings
Arklu says 'girls can be superheroes too' with doll design competition
Coke enters squash market with Oasis Mighty Drops
Virgin Galactic signs up Land Rover as space flight sponsor
Motorola marketer Andrew Morley departs as Google gears up for sale to Lenovo
US Airways apologises after tweeting obscene image at a customer