Credit Issues backs claims management clampdown

Credit Issues has backed the recent move from the Ministry of Justice to clamp down on misleading statements from claims management firms.

The Ministry of Justice warned yesterday that claims firms that make dubious claims in adverts or leave out important information should face enforcement action.

Credit Issues, part of the Guardian Financial Group, says these issues are tarnishing an otherwise reputable sector.

Lee Lipson, legal services director at Credit Issues, says: “The reality is that this is a highly technical area of law which requires specialist knowledge and expertise.

“This is becoming increasingly apparent as the rash of claims management companies that have emerged thinking this was an easy industry in which to make a quick buck are now learning that without having high level barristers at their disposal it will swiftly turn into a minefield rather than a money pit.”