“Shouty” capital letters and confusing jargon will be cut from debt-chasing letters to protect vulnerable people’s mental health after a finance charity convinced the government to change the law.
The Money and Mental Health Policy Institute (MMHPI), set up by Money Saving Expert’s Martin Lewis, has been lobbying ministers for two years to change the wording on letters. The charity warned that the letters are a contributing factor to the 100,000 people in problem debt who attempt to take their own life in England each year.
The government announced that they would be changing the rules in the Consumer Credit Act (1974) to stop letters sent by debt collectors from piling on the mental strain.
The move has been hailed by Lewis, MMHPI founder and chair, who said: “It’s no exaggeration to say that this change could save lives.
“The last thing people struggling with debt need is a bunch of thuggish letters dropping through the letterbox, in language they can’t understand, written in shouty capitals alongside threats of court action.”
Changes to the rules around distressing #DebtThreat letters will make a huge difference to the millions of people facing problem debt – and could even save lives. Find out more about today’s campaign win in our blog: https://t.co/HHhq5pZBRN pic.twitter.com/BvIfKCDVOQ
— Money and Mental Health (@mmhpi) October 7, 2020