§ Dr. CableTo ask the Secretary of State for Trade and Industry whether the rates of interest charged by debt advisory agencies is included in her review of customer credit legislation. [88043]
§ Miss Melanie JohnsonA specific investigation of the rates charged by debt advisory agencies will not form a part of the Consumer Credit Review. We are, however, planning to consult on ways to improve the consumer credit licensing regime and to increase protection for consumers in respect of extortionate credit in general.
All providers of debt management and advisory services are required to be licensed by the Director General of Fair Trading under the Consumer Credit Act 1974. In December 2001, the Office of Fair Trading 900W issued guidance to consumer credit licence holders and applicants on how it expects debt management companies to conduct their affairs.