Payday loan company Cash Lady has dropped brand ambassador Kerry Katona after the pop star was declared bankrupt for the second time in five years.
Despite a recent reunion with Atomic Kitten on The Big Reunion for ITV2 and a national tour the 33 year-old filed for bankruptcy yesterday at Wigan County Court under the name of Kerry Jane Elizabeth Katona.
Katona was first declared bankrupt in 2008 after being unable to pay the last £82,000 of a £417,000 tax bill.
Cash Lady's decision to use Katona as the face of the brand earlier this year caused controversy due to her historic cash flow problems. She even addressed her money problems in the TV ad where she said: "We've all had money troubles at some point, I know I have." However, the ad was then changed to fit in with ASA standards.
The payday lender PDB UK, which trades under the name of Cash Lady, confirmed they were no longer involved with Katona in a statement which read: "We were sorry to hear about Kerry’s current financial situation. Clearly, as a business, we are committed to responsible lending, so it is with sadness that we will not be able to continue using Kerry as the face of Cash Lady.
"We enjoyed working with Kerry a lot, and we wish her all the best in her future endeavours."