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MP proposes debt management bill

Labour MP for Makerfield, Yvonne Fovargue, has tabled a bill to force fee charging debt management companies to inform potential clients of the availability of free debt advice.

The hope is that this bill will “…level the playing field” between debt management companies that charge a fee and consequently have large budgets for advertising as opposed to free agencies which put all their resources into providing a service and may be less well known.

The debate comes after the Office of Fair Trading (OFT) took enforcement action against three debt management companies in the past few weeks.  At least 62 companies have lost their consumer credit licenses in the past year.

 
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