'Aggressive' council debt collectors piling pressure on most vulnerable families that owe benefits and tax in 'frightening' move
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Debt collections by the Government and councils have been described as aggressive and frightening by a charity.
Almost half of all clients helped by Christians Against Poverty have debt with the Department for Work and Pensions and the taxman.
A study from CAP into clients struggling with debt reveals that while the practices of private companies chasing debt have become more customer focused, those owing council tax or benefit overpayments were being chased harder and suffering more.
The charity wants the long-awaited Breathing Space scheme – a six-week break from mounting fees and charges, and being chased by creditors – to give people the relief they desperately need from spiralling debt problems.
"Totally unacceptable"
(Image: Getty)
Matt Barlow, CAP’s chief executive, said: “While we’ve seen improvement in some of the private sector’s debt-collecting practices, it is totally unacceptable that some of the most aggressive debt collecting in our nation comes from local and national governments.
“The reality is, people on the receiving end can feel overwhelmed and unable to cope and our findings show they are not given sufficient understanding and support.
“Many have no idea why they owe what they owe and that’s both confusing and frightening.”
Advisors at the charity described making contact with government creditors as “challenging” and cited one local authority as only contactable online, while HMRC was criticised for long queue times on expensive helplines.
A Government spokesman said: “We have a responsibility to the taxpayer to recover benefit overpayments.
"There are safeguards to ensure people aren’t being asked to repay more than they can afford, and reductions in monthly repayments can be requested.”
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