Debt Collection News

Debt Collection Practices

Tags: Debt Collectors, Debt Collection Practices

As part of its regulatory role the OFT issues guidance for all those seeking to recover debts arising from consumer credit or consumer hire agreements.

OFT updates debt collection guidance

The OFT has updated its debt collection guidance. Although the guidance is entitled 'debt collection guidance', it sets out what the OFT expects of all those engaged in the pursuance of consumer credit related debts. This (October 2011) version of debt collection guidance replaced previous versions. Read more...

OFT launches consultation on revised debt collection guidance

Tags: Debt Collection Guidance, Creditors, OFT

The OFT has today launched a 12-week consultation on its updated Debt Collection Guidance.

The new guidance is designed to:

• confirm it applies to all businesses involved in debt recovery, including creditors as well as debt collectors and purchasers, lenders, law firms and tracing agents
• clarify creditors' responsibilities for the quality and level of information they pass on to debt collection agencies or debt purchase companies. Read more...

'Communicate clearly and fairly' OFT warns consumer credit businesses. Tribunal upholds OFT decision to revoke consumer credit licence

Tags: Collecting Debts, Fair Debt Collection, OFT

The OFT is warning companies collecting consumer credit debts to make sure they communicate clearly and fairly and do not mislead consumers after a Tribunal found a business unfit to hold a consumer credit licence.

The First-tier Tribunal upheld the OFT's decision to revoke the consumer credit licence of Carltons Business Limited, a debt collection agency based in Dartford, Kent. Read more...

OFT launches revised debt collection guidance

Tags: Debt Collection Guidance, OFT, Debt Collectors

The OFT has today published its updated Debt Collection Guidance which sets out the standards expected of all businesses engaging in the recovery of consumer credit debts, including banks, law firms and tracing agents as well as traditional debt collectors.

It also sets out specific business practices that the OFT considers to be unfair or improper, such as using Facebook and Twitter and other social networking sites to contact debtors, as well as contacting debtors at unreasonable times, or at inappropriate locations, Read more...

OFT requires MBNA to improve debt collection practices

Tags: OFT, Debt Collectors, Debt Collection Practices

The OFT has imposed requirements on credit card lender MBNA to secure improvements to the way its in-house debt collection arm deals with customers in financial difficulties.

An investigation was launched by the OFT after Citizens Advice raised concerns about MBNA's practices when dealing with consumers in financial difficulties or their appointed representatives.Read more...

OFT warns consumers over threatening debt collecting mailing

Tags: Debt Collecting, OFT, Debt Collection

Following a number of complaints to Consumer Direct, the OFT is warning consumers not to respond to letters claiming to be from an international debt collecting company.

The mailing from 'AstraDelph International Debt Collection', which is headed 'Notice of Issue of Litigation Proceedings', states that an outstanding debt is owed to an electronics website and that the debt has been passed on to them for recovery. Read more...

Debt collectors warned

Tags: Debt Collectors, Unfair Debt Collection, Debt Collectors Service

Debt collectors are being told to deal fairly with debtors or face losing their consumer credit licence, with new guidance published by the OFT today.

The guidance is aimed at all consumer credit licence holders and applicants and applies to the collection of debt once an account is in default. It sets out the types of behaviour that the OFT considers to be unfair and which could call into question fitness to hold a licence. Read more...