The initiatives planned to be taken on by IVA providers in England and Wales will aim to see a reduction in what have been viewed as misleading advertisements.
And the proposals have been welcomed as good news by the British Bankers’ Association (BBA), which suggest that a policy of self-policing in this respect is likely to bring a greater degree of integrity to IVA solution-providing companies.
Chief executive of the BBA Angela Knight commented: “I am delighted positive steps are being taken to ensure that IVAs are promoted responsibly, especially as the industry has acted on its own initiative to engage with regulators.
“This fits well with our own initiative – co-sponsored by the Insolvency Service – to improve standards that we plan to announce shortly.”
A report from accountancy firm KPMG released earlier this year revealed that here were enough people entered into IVAs during 2006 to fill the new Wembley Stadium.