FCA publishes CRA undertaking

FCA has published an undertaking from Wirex Limited, in respect of unclear terms in the firm’s e-money contract, which FCA obtained using powers under the Consumer Rights Act. FCA was concerned about terms:

  • that excluded the firm’s liability as a result of account suspension: FCA was concerned that the term was drafted in such a say that the firm could refuse to pay compensation even if the suspension was not the customer’s fault, and this would be unfair;
  • that limited compensation available to consumers: the term unfairly limited compensation payable to what the consumer had paid to the firm in the 12 months preceding a claim, rather than an amount based on the loss incurred; and
  • that excluded commitments that may be implied by law: FCA was concerned consumers would not understand what this meant.

The firm agreed to remove all the terms, and assured FCA that it had not relied on them in an unfair way in practice.


Emma Radmore