Archive for the ‘Debt News’ Category

ACA Members Approve New Governance Structure

Monday, April 2nd, 2012

Members of the ACA have approved a new governance structure which will see an election of directors for a 15 man board take place in July.

At a Special Meeting of the Membership in Las Vegas on March 22, 2012, members of ACA International approved bylaw amendments and a transition plan that will reshape the association’s governance structure. The changes will include the elimination of the Executive Committee, a significant reduction in the size of the ACA Board, and the creation of the new Council of Delegates.

On Dec. 15, 2011, the ACA Board reviewed and approved changes to the bylaws and standard operating procedures. Member approval of the proposed bylaw changes and transition plan that occurred on March 22 was the final step needed to begin implementing the new structure.

The transition plan includes the following key dates:

May 18, 2012: Deadline for ACA’s corporate secretary to receive applications from candidates wishing to run for the 12 open 2012/13 board seats. The application form and additional campaign information are available for download here.
June 18, 2012: Corporate secretary notifies Council of Delegates of the slate of board candidates.
July 18, 2012: Current board is seated as the new Council of Delegates.
July 18, 2012: Council of Delegates votes in 12 directors, four to serve three-year terms, four to serve two-year terms, and four to serve a one-year term. They will join current officers Tom Stockton (2012/13 president), Leslie Bender (2012/13 president-elect) and Tim Mabry (2012/13 treasurer).
July 18, 2012: New board is seated.

ACA members can review detailed information about the new governance structure and transition at http://www.acainternational.org/gtf.

Tags: ACA, debt collection, election, governance structure
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Councils Encouraged to Utilise Private Debt Collection Agencies

Thursday, March 29th, 2012

Local councils are being urged to utilise private debt collection agencies due to high volumes of debt being written off.

Speaking to the Enfield Independent Councillor Daniel Pearce said that councillors should contract private debt collection companies with specialist technology to recover more of the cash, especially at a time when budgets are being squeezed.

Cllr Pearce made the declaration after figures were released showing the council was writing off more than £500,000 of bad debt each year. This year the council has written off £193.415.57 in housing benefit overpayments, £249,316.47 in unpaid business rates, and £125,858.49 in unpaid council tax.

It stands to reason that a debt collection agency would have more success in the recovery of the outstanding debts, having the time, resources and expertise to focus solely on the task. Furthermore, the time and money saved by the council means their own resources can be focused on other areas which in turn could have a positive knock on effect for the community itself.

Any council who would like assistance with outstanding bad debt should contact Federal Management on 0844 875 4022 to discuss the options available.

Tags: councils, debt collection, private debt collection agencies
Posted in Debt News, Financial News | 3 Comments »

Energy Firms Turning to Debt Collection Agencies

Tuesday, March 27th, 2012

Energy firms are switching to debt collection agencies as a means of of pursuing customers who switch to another company so as to avoid paying their bills.

Irish energy firm, Bord Gais, is one of the first to take the step of tackling the practice of pursuing these “debt hoppers” through the use of a debt collection agency.

A spokeswoman for Bord Gais said yesterday debt hopping was a “serious issue facing the energy industry”:

“The non-payment of closed accounts is an unfair practice which ultimately leads to higher costs for all customers and therefore the company took the decision to appoint third-party providers to help us recover this debt.”

“This is normal practice in the energy industry in Ireland. It is important to stress that only debt on closed accounts is passed to these agencies and only following substantial efforts to collect the debt via in-house collection processes.”

Tags: Bord Gáis, debt collection, debt collection agencies
Posted in Debt News, Financial News, International Debt News | 1 Comment »

Federal Management Has Been Awarded Investors in People Accreditation

Friday, March 23rd, 2012

Press Release

Federal Management, the UK’s leading commercial debt collection agency, has recently announced its achievement of the Investors in People Accreditation

Federal Management has recently announced its achievement of the Investors in People Accreditation, following an assessment carried out in January 2012 by an independent assessor. A nationally recognised framework, Investors in People gives people the assurance that they are working for an organisation that cares about improving performance and realising together common objectives through the effective encouragement and development of their people.

The HR Director, Ms Pamela Prescott said:

“Achieving Investors in People accreditation is a significant achievement for the company and is a benchmark of how far we have progressed in the way we manage, develop and support our members of staff. I congratulate and thank every member of staff for this achievement and attending interviews with the assessor. I am particularly grateful to many colleagues who share my enthusiasm and aspirations for Investors in People, and are committed to continuous improvement through our main resource: our people. People are the greatest asset of any organisation and gaining IIP status recognises a major investment by our company in the skills and capabilities of our staff.”

Federal Management was established in 2004, which the sole objective of providing the UK’s leading low cost yet highly efficient and professional debt collection service. Constant improvements in their Debt Collection methods and in depth enhancement of internal procedures obtained official recognition in 2009, through the achievement of the ISO9001 accreditation. The empowerment of their people to achieve their individual goals through investment in training and self development has now been recognised with this accreditation.

For more information on Federal Management, please contact our New Business Department on 0844 875 4022

Tags: commercial debt collection, federal management, Investors in People
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New Bank Lending Scheme to Target Small Businesses

Tuesday, March 20th, 2012

Small and medium-sized enterprises have received a boost to bank lending with the launch of a new £20 billion government scheme aimed at increasing bank lending.

The loans will be available to firms with a turnover of up to £50 million and, as part of the National Loan Guarantee Scheme (NLGS), businesses who meet the criteria will be able to access the loans with interest rates one percentage point lower than those available outside the initiative.

Barclays, Santander, Lloyds and Royal Bank of Scotland have so far signed up to the initiative.

The discounted loans are being made available because the government is to guarantee £20bn of the banks’ own borrowing, thereby allowing the lenders to borrow more cheaply than they normally do. The banks then pass on this cheaper funding to SMEs in the form of lower interest rates.

Lloyds said that as well as allowing it to offer customers cheaper loans, the scheme had the potential to “rekindle confidence, stimulate demand and encourage investment”

Chancellor George Osborne said:

“The government promised to help small businesses get access to lower interest rates. Today we deliver on that promise with a nationwide scheme.”

Tags: bank loans, government scheme, small and medium enterprises, small business loans, sme
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Debt Collection Helping to Slow Unemployment Rates

Wednesday, March 14th, 2012

As UK unemployment figures continue to increase, Federal Management are helping businesses to buck the trend by improving cash flow through debt collection.

UK unemployment rose by 28,000 to 2.67 million during the three months to January, with the unemployment rate at 8.4%, according to figures from the Office for National Statistics (ONS) with the number of people claiming Jobseeker’s Allowance increasing by 7,200 to 1.61 million in February.

The rise was the lowest increase of unemployment for almost a year.

Employment Minister Chris Grayling said:

“This is a more encouraging set of figures, with signs that the labour market is stabilising.”

One reason for the slow down in the rate of unemployment has been an improvement in cashflow that many companies are experiencing by utilising the services of Federal Management, the UK’s leading commercial debt collection agency. Federal Management vigorously and pro-actively pursue unpaid invoices and overdue accounts which then frees up the time of the companies to focus on sales and growth.

A spokesman for Federal Management said:

“As the slow recovery from the economic downturn continues, Federal Management are at the forefront of providing an essential business to business solution that allows companies to improve their cashflow and increase the potential for commercial growth. The time and money that thousands of businesses save on a daily basis allows them to continue to keep staffing levels high and, where possible, increase them to meet growing demand.”

Any business who is experiencing difficulty with a bad debt ledger, unpaid invoices or overdue accounts can speak to Federal Management to discuss how they are able to benefit from commercial debt collection by calling their New Business team directly on 0844 875 4022.

Tags: debt collection, federal management, improve cashflow, unemployment
Posted in Debt News, Financial News | 1 Comment »

UK Personal Debt Levels Increase

Monday, March 12th, 2012

New figures reveal that the total amount of personal debt in the UK now stands at £1.456 Trillion.

The figures are an increase on the corresponding period twelve months ago when the personal debt level was £1.452 trillion.

Secured mortgage lending makes up the vast majority of the outstanding debt, a figures of £1.248 trillion which is slight increase from the £1,240 trillion that was owed last year. With 11 million households in the UK, the average outstanding mortgage debt is approximately £111,260.

The average amount of debt owed for every adult in the UK (including mortgages) currently stands at £29,634 which is around 122% of average earnings. Current household debt levels stand at £55,988 which again is an increase on previous levels.

The massive amount of debt owed means large amounts of interest to be paid and over the twelve month period reviewed £62 billion was paid in interest on personal debts, or £173 million pound a day.

£2,432 is the average interest repayment on personal debt for every UK household.

Tags: mortgage debt, Personal Debt, uk debt levels, uk personal debt
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US Borrowing on the Rise

Friday, March 9th, 2012

As the United States continues on it’s recovery from recession it hit an event of note yesterday as new data showed the first quarterly rise in consumer borrowing since 2008.

The Federal Reserve released data which showed that there was a rise in consumer debt for the final quarter of 2011 at an annualised rate of 0.3 per cent. This was the first time since the second quarter of 2008 that there had been such a rise. Business lending also saw positive movement with an increase at an annualised rate of 4.6%, again the highest movement since 2008.

The growth of credit shows the progress consumers have made in reducing debts left behind by the recession, as well as healing in the banking system. Stronger credit growth should support consumption and make the economic recovery more resilient.

The positive news is a strong indication of the progress made by consumers on the debts that they had accrued before and during the recession, and the efforts they had gone through to reduce them. It is also an indication of US banks bringing themselves back into order. Further growth should aid in further improving the debt recovery and aiding in the recovery of the US economy.

Tags: Consumer Borrowing, Consumer Debt, US Economy, US Lending
Posted in Debt News, Financial News, International Debt News | No Comments »

Debt Collection Aiding Freeze in Council Tax

Thursday, March 8th, 2012

An improvement in levels of debt collection has contributed to Monmouthsire County Council announcing a freeze in council tax for 2012/13.

The council is one of only three local authorities in Wales which have so far committed to a standstill.

The final meeting at the Cwmbran County Hall saw the council approve an an additional £750,000 to be invested in school literacy and numeracy programmes over the next three years plus an additional £300,000 to support vulnerable children and adults.

Other key decisions included a standstill in the price of school and community meals, a clear pledge to deliver on the £80 million programme for 21st Century Schools, a continued commitment to invest in and improve the road network and a continuation in waste recycling services that have made Monmouthshire the top performer in Wales.

Despite significant funding cuts from the Welsh Government, MCC continues to effectively manage its finances and expects to underspend its budget in the current year.

Changes to working practices, streamlining internal processes, improved debt collection and cost reduction programmes have allowed the council to recommend increases to its spending on core priorities without increasing council tax.

Cabinet member for finance, Councillor Phil Murphy, said:

“The budget details an increase in spending on schools and the vulnerable, and no increases in the price of school meals and the community meals service while maintaining the current council tax rates.”

“In summation, we are able to freeze council tax rates and invest more into our main priority services.”

Tags: council tax, debt collection, monmouthshire country council
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HMRC Debt Recovery & Northern Ireland Businesses

Monday, March 5th, 2012

Northern Ireland Finance Minister Sammy Wilson has met with HM Revenue & Customs (HMRC) to discuss matters of outstanding tax and debt recovery

Mr Wilson has recently met with the Director of Debt Management and Banking in HMRC after recent correspondence between the Minister and office of the Chancellor of the Exchequer.

The Minister has received numerous representations from local businesses, insolvency practitioners and from the legal profession regarding the approach taken by HMRC in seeking to recover outstanding tax liabilities and wanted to clarify the approach taken by HMRC in Northern Ireland.

Sammy Wilson said:

“The meeting with the Director of Debt Management from HMRC was very useful and provided me with the opportunity to express my concern about issues that representatives from the businesses community, insolvency practitioners and the legal profession have raised with me in relation to the recovery of outstanding tax liabilities.

“With the harsh economic situation, the hard stance of the banking sector and so many businesses in turmoil it is important that, I as Finance Minister, explore what steps might be taken to alleviate struggling businesses at this time.”

The issues discussed during the meeting included HMRC’s policy and procedures in relation to debt recovery and its attitude to Northern Ireland as a UK region, the Time to Pay arrangement and developing a closer liaison between officials.

The Minister continued:

“Agreement was reached that there would be a greater channel of communication between my officials and HMRC and that work will continue to assist, where appropriate, the possibility of early warning signs and changes in policy that may impact on businesses within Northern Ireland and that my Department can consider and then take forward.”

“HMRC stated that they remain committed to supporting viable businesses facing temporary financial difficulty. They emphasised that the important thing is for businesses to contact them before payment is due to discuss individual situations so that they can help.”

“With the draft Programme for Government setting out the Executive’s commitment in rebuilding and re-balancing the Northern Ireland economy, it is crucial that we still continue to pursue Northern Ireland’s interests on UK policy which impacts on our local economy.”

Tags: debt recovery, HMRC, Northern Ireland, outstanding tax
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