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Ep: 8 New Rules for Debt Collection Agencies
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Debt Collection Agencies to work under stricter rules from April 1
Debt collection agencies need to stick to much more stringent rules from April that are meant to ensure that there are fewer debt issues, according to the Inspection of Justice and Safety. For example, a new law will ban debt collection agencies from putting people under pressure. The agencies are also required to register in a public register.
Existing companies have a year to sign up for the register, and new companies must do it immediately. The law will also ensure stricter demands of professional competence in debt collection agencies regarding how they deal with debtors and the information they provide. In addition, only certified bailiffs are allowed to threaten with a summons, which is a call to appear in front of a judge. Other debt collection services are not qualified to do this, according to the inspection.
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