Charles Flanagan (Laois-Offaly, Fine Gael)
Link to this: Individually | In context

Question 156: To ask the Minister for Finance his views on introducing legislation to regulate debt collection here; and if he will make a statement on the matter. [9005/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
Link to this: Individually | In context

In my role as Minister for Finance I have no statutory function in relation to the issue raised by the Deputy. If the Deputy or any other person is aware of any criminal conduct connected to debt collection practices he should of course bring this information to the information of the Garda Authorities. It is of course incumbent on any individual or business availing of debt collection services to deal only with reputable debt recovery firms.

Under Section 11 of the Non-Fatal Offences Against the Person Act 1997 it is an offence to demand payment of a debt in a way designed to alarm, distress or humiliate. If someone is charged with this offence and it is tried as a summary offence (that is, in a District Court by a judge only) the maximum penalty is €1,270 and or 12 months imprisonment. If someone is charged with this offence and it is tried as an indictable offence (that is, in the Circuit Criminal Court or Central Criminal Court before a judge and jury) the maximum penalty is a fine and or 14 years imprisonment.

The Deputy may also wish to note that the Financial Regulator has provided extensive information to assist consumers at risk of not being able to meet loan repayments and in relation to mortgages the statutory Code of Practice on Mortgage Arrears along with the commitments given by the banks participating in the recapitalisation programme will provide significant respite for individuals and households that encounter financial difficulties. The Money Advice and Budgeting Service (MABS) also provide useful independent advice and guidance in these circumstances.