Don't be fooled by clever marketing - BBA backs OFT action on debt advice

[Legal Beagles]

Action to protect people whose financial difficulties may make them prey to %26#39;get out of debt free%26#39; promotions was welcomed today by the BBA.

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[Amethyst]

Re: Don't be fooled by clever marketing - BBA backs OFT action on debt advice

Don't be fooled by clever marketing - BBA backs OFT action on debt advice


05/06/2008

Action to protect people whose financial difficulties may make them prey to 'get out of debt free' promotions was welcomed today by the British Bankers' Association.
The BBA welcomed moves by the Office of Fair Trading to warn people about the risks of signing up to unsolicited and sometimes inappropriate debt advice which encourages them to switch from existing IVA plans to other debt management options.
The BBA has been concerned for some time about poor standards in relation to the advertising of debt management solutions which can mislead consumers at a time when they are most vulnerable.
BBA policy director Helen Banks said:
"The British Bankers' Association is pleased to see the Office of Fair Trading putting a high priority on the advertising of debt management. We hope this initiative will extend to address some of our other concerns in relation to debt management, such as the increase in cold calling, lack of advice on appropriate solutions for those in debt and the lack of proper information on the long term effects of some of the solutions."
"The OFT's action is very much in line with the work the BBA initiated with the Insolvency Service to create a standard protocol for consumer IVAs."