FinanceTeam

Change of Interest Rates

There was no change in interest rates again this month with the Bank of England deciding not to move rates again. The shock increase in January this year seems to have had the desired effect with inflation reducing slightly and consumer spending showing signs of contraction.

Regulation of Bailiffs

The Citizens Advice service has warned that proposed changes in the law could mean that debtors are exposed to increased risk from action by bailiffs. According to the consumer charity many bailiffs are already guilty of excessive fees, harassment, intimidation and misleading people about their rights.

If you fail to pay a fine then the organisation concerned could assume that you do not intend to pay. In this case the debt may be passed to a debt collection agency or bailiffs may be authorised by a court to attempt to recover the money on behalf of their client.

At the moment the right to force entry is only granted in certain circumstances, such as non payment of magistrate court fines or income tax arrears. However, Citizens Advice says the Tribunal, Courts and Enforcement Bill will give bailiffs further powers. For example they could break into people's homes over credit card debt. They have said that this should be a last resort and only carried out where non payment is the result of wilful neglect. Citizens Advice is particularly concerned about the effect on vulnerable people.

In response the Government insist that the bill will simplify the laws concerning bailiffs and create a basis for future regulations to be put in place which will protect those most vulnerable.