The debt collection industry stinks says DebtWizard

 
The Office of Fair Trading (OFT) has stepped in twice over the past few weeks to sort out the debt collection industry. First they moved on Link Financial Limited and then followed with action against another ten firms. Six were debt management companies and the other four 'cold calling' companies, click here for this news item.

The debt collection industry is preying on the desperation of consumers and a lack of awareness of their options. Some of these individuals are vulnerable as they lack the knowledge and confidence to challenge debt recovery tactics and actions.

Knock, knock, it's the bailiff!

Having a bailiff call can be a harrowing experience, especially if they are looking to sell your property. Do you know your rights and how to complain about an unruly bailiff?

We detail their code of conduct and answer various questions, such as, 'what will happen if I let a bailiff in?

More can be found here.

DIY debt guide

This is a do-it-yourself guide to dealing with low to moderate debt with numerous unsecured creditors.

There are 5 important steps you need to take.  We explain what they are and also show you how to communicate with your lender.

We also detail the important do's and don'ts. More can be found here.

The DebtWizard Budget Form can be used to help you avoid getting into debt. If it is too late and your finances are out of control then this unique form will quickly establish your position and predict how much your debt will increase over the next five years.

It's completely free, web based and private. Because it's all on the web you can log in and work on your budget form anywhere there is an internet connection.

Budget form can be found here

HM Revenue and Customs (HMRC) are running a pilot to test the benefits of working with private sector debt collection agencies in recovering money due to the Crown.

Although many organisations, including other government departments, use debt collection agencies successfully to help them with debt recovery, this is a first for HMRC.

More can be found here.

FSA sets date to regulate 'flash selling'

 Many thousands of families have been forced by circumstances to sell their homes using mortgage rescue, sale and rent-back (SRB) or sell-to-let schemes to clear their mortgage debts and enable them to stay in their home. This is also known as 'flash sales'. Most of the companies buy these homes at well under their market value and there are some big risks for the seller.

Up to now these schemes have fallen outside the control of the Financial Services Agency (FSA) but following investigations into concerns about unscrupulous sale and rent back operators, the regulator hopes to introduce a new regime from 1 July to tackle the immediate problems in the SRB market.

You can read more on the risks together with the DebtWizard comment here.

Debtwizard asks the PM for help

Latest - Debtwizard's response, new letter dated 15/05/2009, sent to The Insolvency Service after they wrote refusing to help over-stretched consumers.

Debtwizard is asking the PM to take decisive action in helping consumers that cannot afford the new bankruptcy fee of £510.

We have responses from both the Tories & Lib Dems. View all correspondence here.

The Bank of England's Monetary Policy Committee today voted to keep interest rates at 0.5%.

The Committee also voted to continue with its programme of asset purchases, often referred to as quantitative easing, totalling £125 billion financed by the issuance of central bank reserves.

Quantitative easing explained here.

The latest debt related news since the last email.

· UK credit stats issued June 09

· Do-it-yourself debt guide

· Taxman finds debts too taxing

· Free budget form

· Flash selling, FSA acts

· Knock, Knock, it's the bailiff

. PM & bankruptcy fees update

See the news archive

Every Wednesday - 6.10pm
BBC Essex - John Hayes Drivetime
Topical discussion on debt and consumer related issues

All radio and television appearances will be posted on the homepage

Case study

A 23 year old civil servant owed £35,000 on credit cards, loans and a bank overdraft and was referred to us by her Welfare unit.

Payments to her creditors amounted to £930 each month, this from a take home pay of £1,125 leaving just £195 a month to live on, and pay for rent, utilities etc:

· To find out more on the advice and outcome then click here.

DebtWizard Budget Form

Designed to identify exactly what is going on with your finances. This form is unique with its built in debt predictor. If things look grim you can send it to us for further help.

· Start your own budget form

Media

Missed Mike on the radio or TV? We have uploaded some more shows and any 'coming soon' will be added over the next few days.

As well as the radio and TV, Mike is involved with some of the national newspapers; the media page is the place to find these as well.

· Media page

Credit stats

Did you know that 2,262 Consumer County Court Judgements (CCJs) were issued every day in 2008?

How about £578m will be withdrawn from cash machines today.

· View more credit stats here

Blog & Twitter

Mike is blogging and twittering, just click on either link to follow

· blog twitter

Top 10 sections on website

1. Reclaiming bank charges tool
2. Budget forms
3. Credit card charges
4. Six options to getting out of debt
5. Debt Relief Orders, DROs
6. Who we are
7. Contact
8. Letter to PM re bankruptcy fees
9. Debt Consolidation Loans
10. The Limiation Act (Old debts)