Firms in the debt resolution industry have indicated their willingness to participate in the foundation of an industry body for debt resolution companies, the new organisation will be known as the Debt Resolution Forum (DRF).
A further 7 organisations have said they wish to consider participation in the organisation, which will provide a voice for the industry and which will set best practice standards for members which will be policed and enforced by a respected, independent regulator.
The meeting elected a founding board, which has been charged with the responsibility of turning the meeting’s vision into reality.
Only organisations that commit to the standards and principles of the Debt Resolution Forum will be allowed to join. A programme of independent audit and independent complaints investigation will ensure membership becomes a valuable commercial privilege. The DRF also commits to improving standards over time and in response to marketplace changes.
The DRF is concerned that, whilst creditor organisations can adopt an effectively regulatory role by refusing to deal with organisations they regard as ineffective, the Government’s clearly and strongly expressed view that statutory regulation of the industry is inappropriate means that no organisation effectively protects consumers’ interests.
“The DRF believes the standards it will create will provide reassurance for debtors that they will receive best advice and that they have a strong, independent route to resolution of complaints,” says a spokesman for the DRF.
The Debt Resolution Forum intends to formulate initial proposals for both representative and regulatory proposals in the next few weeks, with a view to obtaining commitment and funding from members.