Terence Flanagan (Dublin North East, Fine Gael)
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Question 101: To ask the Minister for Finance if he will respond to a matter regarding Home Payments Limited that went into liquidation; and if he will make a statement on the matter. [23463/11]

Michael Noonan (Limerick City, Fine Gael)
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Following the collapse of Home Payments Ltd (HPL) last month, the Central Bank commenced an investigation into the matter. This investigation is on-going and I await the final report from the Bank. However, I can confirm that the Central Bank has informed me that, as HPL was not authorised or licensed by the Bank, clients are not eligible for a compensation scheme/deposit protection scheme and, in addition, clients of HPL do not have recourse to the Financial Services Ombudsman. Since the collapse, the Central Bank has worked with the National Consumer Agency and with regulatory and industry bodies to provide assistance to customers of HPL who are at a financial loss. The Bank has also informed me that it is undertaking a review of all firms in the State which appear to offer customers debt advice and/or debt management type services.

The Government is committed to having in place an effective regulatory/supervisory system for those firms providing a household budgeting and bill payment service, a debt management service and/or a debt advice service. The findings of the investigations by the Central Bank into HPL and into the other firms will inform what regulatory/supervisory system should be put in place for firms providing these services - whether provided separately or bundled together - or, alternatively, what amendments to the current regulatory/supervisory framework may be required.