Debt Free Direct

[Sadsack]

Hi all

Received this via email this morning - thought it rather interesting.

THE ADVERTISING STANDARDS AUTHORITY RULES AGAINST DEBT FREE DIRECT
The Advertising Standards Authority (ASA) has ruled as misleading the claim by Debt Free Direct Group plc (DFD) that its IVAs "won't cost you a penny" because it implied that there were no costs associated with an IVA.

We’d never say that an IVA is free (look here and you’ll see just how much ClearDebt charges). We are completely upfront about what an IVA costs and we believe we are the lowest cost IVA provider in the market.

If you are in debt and want an IVA, you shouldn’t worry too much about the fees - because each IVA company deducts its fees from the agreed monthly debt repayment they calculate you can afford. But, most IVA companies deduct their fees in the first months of the arrangement and, if the IVA fails, then you may find you’ve paid very little debt off (and, of course, the more the company is charging, the longer it is before your debt repayment starts).

DFD even unsuccessfully attempted court action to prevent publication of the ASA’s ruling.

DFD has, so far, not joined the industry’s new regulatory body, the Debt Resolution Forum, one of whose standards will be that members must abide by the ASA's findings.

Sue

Ho Hum! Think I'll bang my drum!

Read My Blog
http://sadsack.blogs.iva.co.uk/

[MelanieGiles]

Nice to see the larger firms with their knives out!

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk