Insolvency Practices Council - IPC

[OPTIMIST12]

Does anyone know if this is an official body? I have just come across an article in my Sunday newspaper regarding a "report" by the "IPC" which is not very nice about some IPs.

I have never heard of the IPC - any information anyone?

It says in the article that the IPC seeks to "ensure high ethical standards".

[MelanieGiles]

The Insolvency Practices Council is a public interest body established to influence the professional and ethical standards of insolvency practitioners. It consists of a majority of lay members, meets several times a year and publishes an annual report.

It works closely with the Joint Insolvency Committee, which contains representatives from all the Recognised Professional Bodies who are required to co-operate with the Council. The Insolvency Practices Council is a body which has an agenda setting and review role in relation to the professional and ethical standards of the insolvency profession.

The above two paragraphs are a direct quote from its home page, and the body has some influence but is more of a voice in the industry rather than carrying any teeth.

Which paper is the article in?

[OPTIMIST12]

It is in todays "Mail On Sunday" in the "Financial Mail" section (page 60). The article heading is "Avoiding TV savaging "is priority on insolvency firm complaints" ".

It says that the IPC has produced a "scathing" report.

[MelanieGiles]

Thanks - I have just grabbed the Mail off hubby for a read!

[MelanieGiles]

Just read the article. So what do they expect us to do, sit on our hands and not deal with complaints!

Even in the best of firms there will be things that go wrong, misunderstandings between clients and IP, staff problems and difficult clients. I have spent most of my career in large accountancy firms such as Price WaterhouseCoopers, and there was no difference there - you just deal with issues and complaints and move on.

Personally, as probably everyone knows who reads my posts on the forum, I am fed up about my profession continually being knocked in the press by ill researched journalism. We are one of the heaviest regulated professions in the country, and on the whole generally do a damn fine job!

It is high time this silly journalism was put to bed, or at least researched a little better.

[OPTIMIST12]

Melanie -

I think you should consider contacting the Mail On Sunday with a view to rebutting all the negative publicity that IVAs / IPs receive.

You are an extremely erudite commentator on insolvency and I am sure that they would be happy to print an article by yourself.

Like I said in another thread earlier today - it is important that people hear the positives about IVAs etc. and not just the negatives. Not everyone knows about this forum and people reading the papers or watching TV will probably only hear the bad side of things.

Or maybe Andy could provide an article for them?

[MelanieGiles]

Yes Optimist you are probably right - I should put up or shut up!!

[OPTIMIST12]

Preferably "put up" rather than "shut up" please!!!

The more positive publicity IVAs get the better. Even if many do not run the full course it is better to have tried and failed than to have not tried at all.

[johnt]

to be fair the challenge for IP's is that they have to deal with competing interests or parties making them particularly prone to criticism.

I bang on about this, but it's the whole conflict of interest thing. As a company who do you best serve the client or creditor. The relationship between the two has to be completely transparent, for both, otherwise any trust breaks down between all those involved in the process.

IVA's being missed sold as a quick fix, or sold inappropriately, poor post approval support, and so on all tend to sour the sauce for those firms who conduct themselves professionally.

Ultimately it's important that all IVA's are concluded successfully. Naturally this is important for the industry and client alike. So to some extent I'd welcome tight regulation, regular review and ensure there is a solid complaints procedure.

These issues are becoming more widely understood by the public, as the countries personal debt mountain continues to grow.

[MelanieGiles]

"So to some extent I'd welcome tight regulation, regular review and ensure there is a solid complaints procedure"

John - do you actually realise quite how tightly insolvency practitioners are regulated, how often we are reviewed and how robust the complaints procedure to our regulatory bodies actually is?

A lot of the bad press relates to debt management firms, lead generators and ambulance chasers who call themselves insolvency and debt experts.

[johnt]

"So to some extent I'd welcome tight regulation, regular review and ensure there is a solid complaints procedure"

John - do you actually realise quite how tightly insolvency practitioners are regulated, how often we are reviewed and how robust the complaints procedure to our regulatory bodies actually is?

A lot of the bad press relates to debt management firms, lead generators and ambulance chasers who call themselves insolvency and debt experts.

I've been on the forum for a relatively short time, and It's very evident just by the amount of free time that you give here that your own clients are surely in safe hands.

It does seem though that IP’s get a lot of bad press. I'm sure much of this down to the nature of the business, which can be difficult and emotive, clients are often left with 'gaps' in understanding, and of course the IP has to also contend with the regular issues that come with any customer service industry. I certainly get your point about lead generators, not really in the best interests of the individual.

This naturally makes clients nervous, and for the less educated, confused and unsure as to where they should go for help. I guess the Mail On Sunday article demonstrates, sadly, how muddy the waters have become.

Thank god for the IVA forum!

[size5]

It was only a week or two ago that the Mail on Sunday was savaging the CCCS for inappropriate advice, I guess we have to face up to the fact that we are there to be shot at and, on the occasions where things don't work out as planned, then that is a much more newsworthy story than the cases where people are happy with the help and advice they have received.

[OPTIMIST12]

I think that it will always be difficult for IVAs - and the insolvency industry in general - to receive much in the way of positive coverage in the media.

There will always probably be that small "cowboy" element whose main aim is to line their own pockets rather than provide a bona fide professional service and who - by so doing - spoil things for the reputable majority. And the excessive fees charged by some in the early days of IVAs probably got things off to a bad "start".

Perhaps more influential is the fact that - if we are honest - the majority of the UK population are likely to have little sympathy for IVAs / IVAers in general. For many people who pay their bills / charges / fees on time every month IVAs will probably be seen as an easy way of shirking ones responsibilities and IVAers as people who have spent what they do not have and have only themselves to blame!! Most contributors to this forum - including me!!! - will I am sure agree that things are far more complicated than that and that noone is immune to falling on hard times. BUT I suspect that many many people will view IVAs in that negative light.

It would certainly be great to see some more positive publicity for IVAs but - given that the IVA industry is so competitive and that (I believe ) IPs are represented by half a dozen different bodies - it is unlikely that there will ever be a "united front" when it comes to media coverage / publicity. I know that CCCS are often on the news putting forward a positive view; Andy Davie has recently been on BBC News; Debt-Free Direct have I believe done good work in taking up some of the wilder advertising claims with the ASA; and of course there is this brilliant forum with its great resident experts. All good news - and I am sure that there are other examples.

And at the end of the day - and whatever the media coverage - I shall be forever grateful for being given the chance of an IVA and the "second chance" that it brings. And I am sure many others will feel the same.

[MelanieGiles]

Whatever anyone says, the majority of people who enter into IVAs do so because their difficulties were not forseen, were not really their direct fault and they genuinely feel a sense of responsibility to pay something back to their creditors rather than walking away from their responsibilties.

Bravo to all of you for doing this, and for my own clients I am privileged that you chose me to act for you and I will stand by my profession until the cows come home!

[johnt]

I'm sure like many people, many of whom have never even heard of an IVA, I was living in denial for more than five years, relying on easy credit believing that life was good.

I feel no shame at all for my circumstances, In fact I feel very proud to have taken steps to gain back some power and independance from debt. I'd far sooner be facing up to my debt, and buying what I can afford, rather than being that naive soul I was. IVA's are a real positive step towards achieving this. It's important we do speak up and defend our corner whether a client going through the process or a professional working in the industry.