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Victory in battle against 'thuggish' debt letters


BankFodder
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Warning letters sent to those falling seriously behind on debts are to be toned down to make them less "thuggish", under government plans.

Long-standing laws require warnings about potential court action to be written in bold or in block capitals.

A campaign by the Money and Mental Health Policy Institute claimed the letters were counter-productive and worsened mental health problems.

Now the Treasury has vowed they should be "less threatening".

However, the changes may not be fully implemented until mid-2021.

'Complex and intimidating'

Under the rules of the Consumer Credit Act from 1974, warnings in these letters should be written in capitals or in bold.

For example, the letter states: "IF YOU DO NOT TAKE THE ACTION REQUIRED BY THIS NOTICE BEFORE THE DATE SHOWN THEN THE FURTHER ACTION SET OUT BELOW MAY BE TAKEN AGAINST YOU."

 

https://www.bbc.com/news/business-54433621

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Good, Next a leaflet informing debtors how SB laws and CCA agreements work. 

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