New debt collection bill could cut fees by NOK 2 billion

Money fixed interestNorwegian bank notes, Photo: Norway Today Media

Advertisement

A committee will refuse collection companies to charge large fees for unpaid tolls, telephone or medical bills. It can save consumers huge sums.

Dagens Næringsliv has read a proposal for a new debt collection law that is presented on Monday morning. In the bill, a government-appointed working group, consisting of people from, among others, the Consumer Council, Finance Norway, Virke Collection and Finanstilsynet, agrees to cut the fees on small claims of less than NOK 500.

The working group proposes that only four clearances and a total fee of NOK 240 be allowed, compared to NOK 700 today. For such a claim that is paid after the first payment request, the fee is NOK 70 against NOK 350 today. This is a reduction of 80 percent.

Claims of less than NOK 500 include more than every third collection claim.

The working group also proposes to halve the fee charge municipalities and public agencies can impose unpaid bills from 70 to 35 kroner.

In total, the changes will result in an annual saving of around NOK 2 billion for consumers, if adopted. The working group also writes that it may lead to several debt collection companies being merged or canceled.

© NTB Scanpix / #Norway Today

Advertisement

Be the first to comment on "New debt collection bill could cut fees by NOK 2 billion"

Leave a comment

Your email address will not be published.


*