Bankers to draw up industry standards with IVA groups

The British Bankers’ Association
and representatives of the IVA industry are teaming up to draft a standardised
rule book to ensure debt practitioners  are operating on a level playing field.

Concerns were raised in relation to the advertising of services and
the differing standards of advice that customers could expect from industry
participants, which prompted the move.

Banks have alleged that some IVAs have been mis-sold and the ramifications
not fully explained, The Daily

In addition to the customer advice guidelines, the new code will also focus
on making related charges and fees for IVAs more transparent.

In a statement, BBA said: ‘The BBA and registered IVA providers have also
agreed to set up a register of responsible insolvency practitioners who
subscribe to the code, so customers can choose debt advisers with confidence. It
is hoped the Code will be in place by Easter 2007.’

Related links:

HSBC warns on rising insolvency

Half empty: the effect of bad debt 

IVA factories come under fire

Related reading