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Debt Advice Health Warning Best Practice Guidelines

Credit card statements now advise customers on where to get help if they are in

financial difficulty

For a small minority of people, over-indebtedness is a very real problem, and it is one that The UK Cards Association members

take seriously. Although credit cards account for only a small amount - consistently less than five per cent - of UK consumer

borrowing, card companies have made a commitment to ensure that people who may be struggling with repayments, or ignoring a

debt problem, know that help and advice are available.

The following guideline outlines the type of information that now appears on every credit cardholder’s monthly statement.

Debt Advice Health Warning

1. Introduction

Card issuers will display a warning message on all statements designed to help cardholders who are unable to make the minimum

payment or are in financial difficulty. This message includes a telephone number for them to contact if they require debt advice.

2. Health warning

The warning could read something similar to the following:

“If you are unable to make the minimum payment please contact us as soon as possible by calling XXXXXXXX.”

3. Effective date

This best practice debt advice health warning message is effective from 31 December 2005.