§ Mr. LazarowiczTo ask the Secretary of State for Trade and Industry if she will take steps to improve the capacity of clients of debt management companies to obtain compensation after receiving bad advice from such companies. [35796]
§ Miss Melanie JohnsonThe Director General of Fair Trading issued guidelines for debt management companies last December to ensure they deal fairly and openly with their customers. The guidelines require debt management companies to respond promptly and fairly to complaints about their services. They also require that a contract should set out the circumstances in which a consumer may withdraw and receive a refund and should not include any term which says or implies that there are no circumstances in which a consumer is entitled to a refund.