The Banco de España supervises the advertising of financial products
06/06/2023
Financial institutions also rely on advertising as a key element in the marketing of banking products and services. The ads highlight the conditions of their offer, such as interest rates or terms, aimed at feeding customer expectations and influencing decision-making.
The Banco de España is the body responsible for the regulation and supervision of financial advertising as an essential mechanism for protecting banking customers. In 2022, as a result of this work, we noted the efforts by the entities to issue clearer and more accurate advertising, although 81 notices were issued for the cessation or rectification of advertisements that did not meet regulatory requirements
The advertising oversight system is based on a dual approach: (i) a preventive one, which consists of monitoring compliance with regulatory requirements and the criteria established by the Banco de España to promote advertising messages that are clear, objective and contain sufficient information, in addition to requiring entities to have internal procedures and controls to guarantee compliance; and (ii) another corrective facet, which makes it possible to order the cessation or rectification of advertising that does not conform to the regulatory standards and enables the Banco de España to sanction inappropriate conduct.
Institutions can launch advertising without the need for prior authorisation, but the Banco de España can verify that the content complies with established principles: it must be clear, sufficient, objective and not misleading. Currently, the supervision of advertising activity reviews ads in broadcast media, whether traditional, such as the press, television, radio or in new digital formats and on social media.
For more information, see chapter 4 of the Banco de España's Supervisory Report, corresponding to the 2022 financial year, available at the following link:
