Brian Cowen (Laois-Offaly, Fianna Fail)

As the Minister for Finance, I am charged with putting in place an appropriate and robust legislative framework for the regulation of the financial services sector, with a particular focus on the consumer. I am satisfied that such a framework has been in place since the Financial Regulator and the Financial Services Ombudsman's Bureau were established. All credit card providers must comply with the regulator's consumer protection code, which states that the providers of financial services must not provide financial products other than those which are suitable for the relevant consumer. When credit institutions change their interest rates, they must state the effective date of the new rates and update the interest rate details on their information services as soon as the changes come into effect. The limits on credit cards cannot be increased unless such increases are requested by consumers. The Financial Regulator spends significant time and uses considerable resources to inform consumers about the potential risk of excessive credit card debt. Credit card cost surveys, which have been undertaken by the Financial Regulator, are available to help consumers to choose the credit card that best suits their needs. The Financial Regulator recommends that consumers take on the right type of credit for the right purpose — credit cards are not suitable for long-term debt as rates are considerably higher than other forms of credit. The Financial Regulator issues information to help people who have problems with credit card debt. This information is available through its publications, helpline and website. The Minister may wish to note——

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