Archbishop hits out against doorstep credit companies

Archbishop of Canterbury Dr Rowan Williams (pictured) has slammed “doorstep credit” advertisers and called on the Government to impose tighter regulations. Speaking at the House of Lords today (April 25), the Archbishop blamed door-to-door salesmen for the “poverty trap” of spiralling debt.

He also called for more concentration on credit unions, which he says have “enormous potential” to help consumers to manage debt. The Archbishop says “sharper regulation of terms and methods of advertising for doorstop credit” are needed. He adds that some organisations are “deliberately unclear” about charges and rates of repayment.

Robert Keitch, Direct Marketing Association director of media channel development, says: “Companies charging 30% interest rates is just not a justifiable position that someone can take. These are the organisations that prey on the people who are the most vulnerable.”

The Church of England launched a campaign – “a matter of life or debt” – at the beginning of this year. Debt on our Doorstep is a campaigning association led by Church Action on Poverty, which is pressing for tighter regulation of the lending market and a cap on charges.