OFT removes Stockport firm’s credit licence
THE Office of Fair Trading (OFT) has acted to remove the consumer credit licence of Stockport-based SAS Fire & Security Systems after an investigation found it used aggressive sales techniques to persuade consumers to buy costly burglar and fire alarm systems.
It has also taken action against three other companies associated with SAS Fire.
SAS Fire and the three associated companies – First Cheshire Finance Solutions, UK Monitoring and Response Solutions (Formerly Alarms Direct) and SAS Financial Solutions – supplied domestic security systems and offered credit to customers who buy them.
The OFT’s investigation found that SAS Fire had breached consumer protection legislation banning the use of high pressure and aggressive sales techniques, particularly when dealing with customers in their homes.
It said that SAS Fire falsely stated that its products would be available at a particular price for a limited period in order to elicit immediate sales; falsely suggested that alarms provided by local councils are not free; misrepresented Government crime statistics to make people more fearful of personal safety and wrongly claimed that its products had been approved or endorsed by public bodies.
It also found that SAS Fire had actively prevented customers from cancelling contracts or claiming refunds.
SAS Fire has now surrendered its licence and the three associated companies had their licences revoked on July 4.
David Fisher, director of the OFT’s Consumer Credit Group, said: “This action sends a clear message that it is unacceptable for any business to engage in aggressive and high pressure sales tactics. We will continue to target our work to protect the most vulnerable consumers.”
