Comparison site challenger

A COMPARISON website has been launched which promises to provide a fairer deal for consumers looking for the cheapest loan.

Fair Money has laid down the gauntlet to its rivals by guaranteeing to rank providers according to who provides the cheapest loan – not who pays the most commission to the website.

Dr Roger Gewolb, founder of Fair Money pledged that his site is ‘putting the customers before the commission’.

He added: ‘It’s what the regulators are crying out for and it’s simply what the public should expect.’

Last year City watchdog the Financial Conduct Authority said some websites were not providing clear enough information to consumers about what they were buying.

Earlier this month representatives of the biggest comparison websites, including US witch, Confused and Compare the Market, were forced to defend their business in the face of claims by MPs that they have been misleading customers by failing to show the cheapest tariffs.

The Competition and Markets Authority has also raised concerns that price comparison websites are not clear to customers that they are selling their applications ‘to the highest bidder’.

Fair Money said it does receive commission from lenders, but that this does not affect the ranking of their products to a customer.

The website also caters for prospective borrowers with poor credit records who want to shop around for the best deal from payday lenders, which offer short term loans at ultra high interest rates. The City watchdog in January introduced a cap on the rates they can charge.