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Debt Collection - supplementary consultation - The Office of Fair Trading
Revised OFT guidance on debt collection (OFT664Rev) was published in October 2011.
Following representations received, the OFT has decided to undertake a supplementary consultation on its position on use of 'continuous payment authority' as a means of recovering monies owed in respect of consumer credit related debts as set out in paragraph 3.9m of that document.
We are also taking this opportunity to consult on the specific practice of debiting monies from an account in the absence of having the express authority to do so (including under circumstances in which the lender may have the authority, under a continuous payment authority or otherwise, to recover monies from another account(s)). This practice is dealt with in what could, subject to consultation, become a new paragraph 3.9n of the Guidance. This would replace what is currently the third bullet point of paragraph 3.9m in the revised Debt Collection Guidance.
Related documents
Following representations received, the OFT has decided to undertake a supplementary consultation on its position on use of 'continuous payment authority' as a means of recovering monies owed in respect of consumer credit related debts as set out in paragraph 3.9m of that document.
We are also taking this opportunity to consult on the specific practice of debiting monies from an account in the absence of having the express authority to do so (including under circumstances in which the lender may have the authority, under a continuous payment authority or otherwise, to recover monies from another account(s)). This practice is dealt with in what could, subject to consultation, become a new paragraph 3.9n of the Guidance. This would replace what is currently the third bullet point of paragraph 3.9m in the revised Debt Collection Guidance.
Related documents
- Download the supplementary consultation document Debt collection: OFT guidance for all businesses engaged in recovery of consumer credit debts (pdf 202kb)
- View previous consultation (closed June 2011): Debt collection: draft OFT guidance for creditors, debt collectors, law firms and other businesses engaged in the recovery of consumer credit debts