A CALL for firms to cut financial jargon has been issued as customers say they are bamboozled by offers.
Simon Howard, chief executive of the UK Sustainable Investment and Finance Association, believes the failure by financial institutions to communicate clearly, as reported by 81 per cent of the public, may make it more difficult for people to make good money choices.
The association says it has more than 250 members including pension funds, asset managers, research providers, financial advisers, banks and non-governmental organisations.
It also says it seeks to ensure individual and institutional investors can reflect their values in choosing their investments.
A YouGov poll of 2,155 adults commissioned by the association reports 77 per cent think the Government should do more to convey financial information clearly.
Some 45 per cent felt confused when receiving financial information while 27 per cent said they would not be able to explain how an Isa works, 55 per cent said they could not explain how a credit union works and 77 per cent said they would have the same problem with a description for sustainable investments.
The poll also showed financial options fall far behind sectors such as food, clothing and transport when it comes to making choices about sustainable and ethical living.
Speaking at the start of Good Money Week, an annual campaign to raise awareness of sustainable, responsible and ethical finance to help people make good money choices, Mr Howard said: "If, as our research indicates, people don't feel completely comfortable with everyday financial terms and don't feel the financial information they receive is easily understood, making informed decisions is virtually impossible."
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