DMP : More Regulation of Debt Management Companies Rejected

As members of the Insolvency Practitioners Association (IPA), My IVA Adviser are genuinely interested in making sure that people seeking help for debt problems are given accurate advice from the outset. All our advisers have extensive knowledge surrounding the Individual Voluntary Arrangement (IVA), Debt Management and Bankruptcy solutions that are available, and have been trained to the highest standard. We pride ourselves on giving only ethical advice. Recently, however, creditors have been lobbying for stricter control to be taken over debt management companies that arrange Individual Voluntary Arrangements (IVAs) for people with debts, arguing that regulation of the debt management industry would protect the public from misleading and bad advice on the options facing people in financial difficulty. R3, the Association of Business Recovery Professionals has also called for more regulation of debt management companies to address this issue. Read below what the BBC is reporting, and then let us know if you agree with the Trade and Industry minister Jim Fitzpatrick. The BBC reports: “The government has rejected calls for more regulation of firms that market individual voluntary arrangements, known as Individual Voluntary Arrangements (IVAs), to people with debts. ” they when on: Department of Trade and Industry minister Jim Fitzpatrick has said banks should lend money more carefully. Speaking to the Financial Times, Mr Fitzpatrick said: “If we’ve got a rise in indebtedness, if we’ve got a rise in people having difficulty in servicing that debt… then maybe the banks are lending too much money or maybe they’re not being as careful as they used to be in scrutiniing the applications.” He added: “If they’d not lent it in the first place then they wouldn’t be in the difficulty of trying to recover it.”