Lovetts solicitors respond to CJC Consultation on Pre Action Protocols
April 2008

The CJC has reecently asked for submissions on whether Pre Action Protocols would be appropriate for the debt collection industry. The responses of Lovetts plc, solicitors of which Trevor Phillips from CPL is a director are available here in pdf format.

Lovetts plc Submission on Protocol>>
Lovetts plc Questionnaire Replies on Protocol >>

10:17 09/05/2008
October 2006 - Kevin Still, Executive Vice President of CPL has today been appointed to the board of Pentagon (UK), parent of debt management company EuroDebt Financial Services .... More >>

Sept. 2006 - CPL selected for the fourth year running to undertake independent audits of the Debt Managers Standards Association (DEMSA) members.... MORE >>

Debt Management trade body completes first stage of OFT Consumer Codes Approval Scheme

During 2003 the Debt Managers Standards Association (DEMSA) became the first debt management trade association to successfully complete Stage One of the OFT's Consumer Codes Approval Scheme (CCAS), which aims to promote and safeguard consumer interests (see note 2).

By completing Stage One, the DEMSA Consumer Code has met the OFT's core criteria in principle. To achieve OFT approval, the second stage involves testing the code to see whether it is working effectively in practice (see note 3).

The DEMSA Code of practice promises to provide the following benefits:

* a set of comprehensive monitoring procedures including inspection visits by independent inspectors, a mystery shopping exercise, checks on marketing, advertising and web sweeps:
* a conciliation service to handle consumer complaints if a member's own complaints procedure does not resolve an issue
* an independent redress scheme (arbitration)
* a newly introduced independent disciplinary panel to ensure that the code is complied with and enforced
* regular customer satisfaction surveys so that problem areas can be addressed should the code fail to deliver on its promise
* protection of all clients deposits or prepayments by the use of separate ring fenced accounts
* an obligation on all members to use fair terms and conditions
* clear written pre-contractual information for customers.
* a requirement on members to have in place satisfactory provisions for dealing with vulnerable consumers.

DEMSA will now be invited to provide the OFT with evidence that these processes are working in order to achieve OFT approval. Codes are approved only once they demonstrate they are effective in promoting consumer interests beyond the minimum required by existing consumer protection law. Code sponsors and members of the OFT approved codes can then be licensed to display the OFT Approved code logo. They will also benefit from the OFT's promotion of approved codes and the CCAS.

In acknowledging the completion of Stage One, Penny Boys, OFT Executive Director, said:

'I welcome the steps taken by DEMSA and its members in developing their code of practice to ensure greater consumer protection for their customers, and very much appreciate the commitment and hard work that has made this possible.'

NOTES

1. DEMSA is a trade association for the debt management industry.

2. The OFT's CCAS aim is to promote and safeguard consumers' interests by helping consumers identify better businesses and to encourage those businesses to raise their standards of customer service. The core criteria cover the organisation of the code sponsor, the preparation and content of the code, complaints handling, monitoring, compliance and publicity.

3. The CCAS consists of two co-dependent stages:

Stage One - The code sponsor makes a promise that its code meets theOFT's core criteria. The code sponsor must make sure its code contains measures designed to remove or ease consumer concerns and undesirable trading practices in its sector. At this stage, the code sponsor is not allowed to claim OFT approval for its code because there has not yet been an evaluation of how well the code is working in practice.

Stage Two - The code sponsor must prove its code lives up to the initial promise it made. The burden of proof lies with the code sponsor. The code sponsor must also show that the code is being effectively implemented by all who claim to adhere to it and that consumer disputes are properly resolved. When this burden of proof has been met, OFT approval of the code and promotion will follow. The 2006 Audit, to be carried out by Credit Professionals will form part of this process.

Dec 2005 - David Stammers joining CPL .... MORE >>

Oct. 2005 - Trevor Phillips chairs the Collections 2005 Conference organised by Attentiv Systems ... MORE >>

June 2005 - Leading UK Bad Debt Buyer Lowell Group exceeds targets one year after launch ... MORE >>

Leeds, 13 June 2005. It is now one year since the Lowell Group entered the UK Debt Purchase sector. The Group is already one of the leading purchasers of non-performing consumer debt in the UK, with over 600,000 delinquent accounts currently being serviced from a 400 seat call centre in the heart of the financial centre of Leeds, England.

The Lowell Group was formed after CS Capital Partners II LP (an English Limited Partnership) merged Premier Seekers Limited and FTS (North) Limited. Cabot Square Capital Limited, the Manager of the fund has a successful track record in the sector, following it’s prior investment in Cabot Financial Europe Ltd. Premier Seekers Limited and FTS (North) Limited, had traded in the debt collection and trace sectors since 1995 and had a strong management team with extensive experience in the credit services industry. James Cornell was retained as CEO of the Lowell Group. The management team were introduced by Kevin Still, Senior Vice President of Credit Professionals Limited (CPL). CPL specialise in the provision of strategic consultancy, M &A support and senior credit recruitment services.

The Lowell Group specialises in the purchase and servicing of delinquent debt from a range of consumer credit granters, including; banks, credit card issuers, telecoms/mobile providers, utilities, finance houses, retail credit and home entertainment providers. The Group recognises the dramatic growth in the UK debt purchase sector and has the financial, operational and analytical resources to manage large single placement and forward flow portfolios. Recent transactions include significant purchase agreements with several UK high street banks, credit card issuers and retail credit/home shopping providers. The Lowell Group believes that it differentiates itself by offering its clients: · A high energy and innovative executive team · Excellent open and transparent relationship management at all points of contact · Substantial funding lines for single and forward flow debt purchase agreements · A complete range of debt purchasing solutions, fully integrated to provide bespoke client solutions · Significant experience in working different product & aged debt portfolio profiles · A thorough and streamlined bid process geared to timely contractual agreement · Substantial capacity to grow · Commitment to reciprocate information · A major commitment to staff and performance management based upon continuous improvement · Emphasis on using technology and analytical techniques to improve operational performance and debtor contact strategies · A highly ethical and compliant approach

The Group is an established member of the UK Credit Services Association (CSA) and a founder member of the Debt Buyers & Sellers Group (DBSG).
Lowell Group Contact : James Cornell Role : CEO Tel: +44 845 300 9410 Fax : +44 845 300 9411 Email: james.cornell@lowellgroup.co.uk Website: www.lowellgroup.co.uk

About Credit Professionals Ltd. (CPL) Credit Professionals Limited (CPL) provides strategic consultancy, recruitment, M & A and facilitates outsourcing solutions to companies throughout Europe. Formed in 1997, the company services the needs of companies where hands-on experience is vital, utilising the knowledge of over 50 senior qualified consultants.
For further information about CPL, please contact: Contact : Kevin Still Role : Senior Vice President Tel: +44 845 166 8256 Fax : +44 845 166 8257 Email: kevin@credit-manager.co.uk Website: www.credit-manager.co.uk July 2005

Feb. 2003 - CPL announces their agreement to provide the training and consultancy services for the Business Credit Management website portal.... MORE >>

Feb. 2003 - CPL launches a new AdviceLine service for consumer credit personnel
A no nonsense, plain English, practical adviceline for credit practitioners available by telephone, email, letter or fax, whichever suits you.... AdviceLine

Oct. 2002 - Coface signs new partnership with Credit Professionals
Consultative approach strengthens Coface UK's credit solutions capability... MORE >>

COFACE SIGNS NEW PARTNERSHIP WITH CREDIT PROFESSIONALS
Consultative approach strengthens Coface UK’s credit solutions capability....

London, 1 October 2002. Coface UK, part of the Coface Group, a world leader in credit insurance and receivables management services with over 78,000 clients in 99 countries, has entered into a business alliance with specialist credit management consultancy, Credit Professionals Limited (CPL). CPL’s senior consultants have a recognised presence within the UK and European credit industry and the partnership with Coface UK will provide added value for both companies.

"We are delighted to have signed this agreement with Coface UK, we believe the Coface Group's services and guarantees can seriously enhance business-to-business commerce," comments Trevor Phillips, Managing Director of CPL.. "Through this partnership we will be able to adopt a more consultative approach to truly understand client company’s goals and objectives. We are specifically looking to jointly develop and grow the Receivables Management Outsourcing services that Coface offer to a number of major organisations."

Indeed, a recent survey on Outsourcing has indicated that the most common motive for organisations choosing to outsource was to gain access to skills and experience and to free them to concentrate on their core business. One of the key requirements for success on the customer side is that there must be senior executive support and involvement in the project and both organisations must invest a lot of effort in managing the overall relationship.

"We feel that the involvement of CPL’s experienced senior consultants in our ‘Joint Work Program’ means that we can now dedicate unrivalled resources and expertise on an international scale, to deliver efficient and cost-effective trade credit solutions for our clients" said Coface UK Managing Director, Malcolm Guest. "This new relationship will enable us to enhance channels of communication with our clients, ensuring that our services deliver tangible business benefits and a Return on Investment (ROI) which is in line with, or exceeds their expectations"

"Both CPL and Coface have strong client bases of blue chip companies, built-up through their years of experience in the credit management sector," Kevin Still, Associate Director, CPL explains. "By tapping into this joint experience and the investment Coface has made in new premises and advanced Dispute Resolution & Collections Management systems, businesses will benefit from the company’s proven expertise in collections, ensuring improved cash flow, fewer bad debts and decreased average days sales outstanding (DSO)."

Kevin recently supported Coface UK at the recent Collections 2002 conference at the NEC, where a number of strategic services were presented, including:

Total Collect
A complete outsourced credit management solution with regular reporting, including order processing, credit vetting, invoicing, debt collection, banking, and an in-house legal team.