By Daniel Hunter

Wonga has had another advert banned by the Advertising Standards Authority (ASA) after it received a complaint from a charity.

Citizens Advice complained that the advert does not reveal the loan's interest rate.

The advert shows one of Wonga's "pensioner puppets" telling a man "You appear to be in a financial quandary, young fellow" as he jots down figures on a napkin before using a calculator on a phone.

The ASA said this breached regulations and the advert must not be shown again in its current form.

Chief executive of Citizens Advice, Gillian Guy, said: "Adverts must be clear about what taking out a loan means and how much it will cost.

"The consequences are really serious when payday lending goes wrong. High interest rates and fees can mean that a small loan balloons into a huge debt.

"Both the advertising and payday loan industries need to look at why so many adverts are not meeting the grade and change their ways"

It is the second Wonga advert to be banned by the ASA this year. In April, the advertising regulator said a previous advert confused people over interest rates.

Wonga recently announced plans to write-off the debt of around 330,000 customers, shortly after it reported a 50% fall in profits.

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