Posts Tagged ‘debt collection’

Further Council Action Utilising Debt Collection Agencies

Monday, April 23rd, 2012

Sheffield council have joined the list of bodies that have introduced debt collection agencies and bailiffs in an attempt to recover unpaid debts.

With councils encouraged to utilise private debt collection agencies and then Councils Following Up On Debt Collection Agency Recommendation by utilising more debt collection agencies as a means of recovering outstanding debt it is evident that a tougher stance is being taken with those who do not pay.

Sheffield Council is looking to recover £6 millions of unpaid debts consisting of council tax, business rates, and parking and bus lane fines. The new measures are likely a result of a squeeze on its income due to Government spending cuts.

In the year to April, officials referred 10,225 cases to bailiffs, involving debt totalling £6,035,832. The council has not revealed how much of the money was actually recovered. The cases include 3,851 parking and bus lane fines during 2011/12.

The figure is down on the previous year, when 4,897 parking and bus lane fines were referred to bailiffs.

Sheffield residents’ groups today backed the council in its tough stance.

Speaking to the Terry Andrews, treasurer of Base Green Tenants’ and Residents’ Association, said:

“I’m flabbergasted by the number of people not paying up.”

“I think the council is right to send bailiffs to people’s houses and businesses.”

“If people who owe money do not pay, services end up having to be cut instead.”

Tags: council debt, council tax, debt collection, unpaid rent
Posted in Financial News | No Comments »

Councils Following Up On Debt Collection Agency Recommendation

Wednesday, April 18th, 2012

With councils encouraged to utilise private debt collection agencies it would seem some councils have taken the advice on board and begun to implement changes to improve cashflow and reduce outstanding debt.

It is being reported that Stoke-On-Trent City Council is currently owed around £8.6 million from taxpayers for a variety of different services consisting of allotments, skip hire, use of sports facilities, room hire, licensing fees and planning costs, commercial rent, market rent and collecting rubbish from businesses.

A large proportion of this debt was incurred through the Council providing services which residents and tenants where allowed to us first and pay for later but, as a means of helping to eliminate future debt from accruing a large amount of services are now reported to be “pay up front.”

The Council itself is looking to sell off a debt package to private debt collection agencies which consists of rent, tax and other debts in a last-ditch effort to recover the outstanding monies.

Details of the outstanding debt amount were revealed just weeks after the Labour-run council had confirmed there would be budget cuts of £24 million for 2012/13, following citywide cuts of £35.6 million last year.

Councillor Abi Brown, Conservative group leader said:

“We have got to make sure the city council is run like a business.”

“There are still services where charges are not being made up front. I just hope the council has learned its lesson.”

Tags: councils, debt collection, private debt collection agencies
Posted in Debt News, Financial News | No Comments »

Financial Problems Start at £14,416

Monday, April 16th, 2012

The latest financial safety net report from Bright Grey has revealed that Britons only consider themselves to have a serious financial problem when they reach a debt level of £14,416.

The figure itself is a clear indicator that the general attitude towards personal debt is extremely poor but there is some reason for optimism as he figure itself has reduced by £1,421 since 2010 when Britons only considered themselves to have serious financial problems when there level of personal debt stood at £15,837.

The report has also revealed that Britons with an age between 35-54 have an even higher personal threshold of debt before they consider themselves having financial difficulties with the level of debt for this age bracket standing at more than £15,590 before it is considered a problem.

Those living in the West Midlands have gone from having the highest regional ‘debt threshold’ of £17,118 in 2010 to the lowest this year, £12,360, a shift of nearly £5000.

Those living in the West Midlands have witnessed the greatest drop in the regional “debt threshold” with the 2010 figure of £17,118, the highest in the UK, now £12,360, the lowest in the UK.

Proposition Director at Bright Grey, Roger Evans, said:

“In the past 12 months, Britons are sitting up and taking greater notice of the wider economic environment. People are more wary about getting themselves into serious levels of personal debt, yet over £14,000 is still clearly a cause for concern.”

“Attitudes are moving in the right direction but there needs to be a sizable shift. As a result, we need to keep control of our finances so we have contingency plans in place if we urgently need access to cash.”

“People are becoming increasingly aware of the impact of high debt yet are still failing take out adequate protection. Britons need to make financial provisions for their future and not live under the hope that state benefits or bail outs from family and friends will allow them to maintain their standard of living if they lost their income.”

“Protection products are cheaper than ever and it is crucial that people recognise the significance of putting an appropriate financial safety net in place.”

Tags: debt collection, debt levels, financial problems, Personal Debt
Posted in Debt News, Financial News | No Comments »

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
Posted in Debt News | No Comments »

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 »

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 »

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
Posted in Debt News, Financial News | No Comments »

Third Party Debt Collection Agencies Boosting Economies

Monday, February 6th, 2012

Third party debt collection has an important impact on the national and New Hampshire economies, according to a new study by ACA International and global advisory firm Ernst and Young based on 2010 data.

New England Collectors Association President David Sands said:

“These findings reinforce the critical role the third-party debt collection industry plays as a service provider in recovering unpaid consumer debt on behalf of the public, private and nonprofit sectors. Moreover, third-party collectors are actively engaged in New Hampshire communities as employers, volunteers, philanthropists and taxpayers.”

ACA International CEO Pat Morris said:

“Our nation was built on the premise that those who provide credit, goods and services to consumers have the expectation of being repaid. Recovering these debts helps organizations survive; prevents layoffs; keeps cost down and credit, goods and services available; and reduces the need for tax increases to cover government budget shortfalls.”

Tags: ACA international, debt collection, ernst and young
Posted in Debt News, International Debt News | No Comments »

Federal Management Becomes Member of International Trade Association

Wednesday, February 1st, 2012

MINNEAPOLIS, Minn., USA—(27 January 2012)— Federal Management Limited, located at Federal House, 1c Maple Court, Maple View, Skelmersdale, Lancashire, WN8 9TW England, has become an international member of ACA International – the Association of Credit and Collection Professionals.

ACA membership demonstrates that Federal Management Limited is dedicated to advancing quality and professionalism in the credit and collection industry. As an ACA member, Federal Management Limited has agreed to comply with all applicable laws and regulations as well as the ethical standards and guidelines established by the association.

Founded in 1939, ACA International brings together more than 5,000 members worldwide, including third-party collection agencies, asset buying companies, attorneys, creditors and vendor affiliates.

ACA produces a wide variety of products, services and publications, and articulates the value of the credit and collection industry to businesses, policymakers and consumers.

For more information about ACA International, visit www.acainternational.org.

Tags: ACA Internatational, Association of Credit and Collection Professionals, debt collection, federal management
Posted in Debt News, International Debt News | No Comments »