Brendan Burgess
Founder
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6.[FONT="] [/FONT]What restrictions should be placed on the use of the proposed debt settlement scheme by individuals who have already availed of debt discharge under the scheme? [Paragraph 5.145]
They would probably be limited to the Sub-prime lenders for a long time.
All bets should be off for sub-prime lending. Any company offering them is aware of the risks and anyone taking the money is well aware that there is a high chance that they will not be able to pay it back. Should be excluded from any debt settlement scheme.
I would imagine that lenders would be very, very slow to lend to anyone who had come through a debt settlement scheme even if they had earned their "fresh start". They would probably be limited to the Sub-prime lenders for a long time.
I presume that the Debt Settlement Scheme would stay on their ICB record for ever?
Hi CSIRL
Are you suggesting that sub-prime lenders should not be obliged to participate in debt settlement schemes? You can't have a debt settlement scheme unless all creditors are forced to participate.
Brendan