A free service to help people in Northern Ireland with debt problems via a dedicated helpline and website was launched today (November 19) in Belfast.

Debtline NI is a joint initiative between the Foundation for Credit Counselling (FCC), responsible for administering the UK's leading debt charity, and the locally based Limavady Community Development Initiative (LCDI). It is the substantial expansion of an existing operation, following recommendations in a report published earlier this year which looked at the availability of money advice in Northern Ireland.

The report recommended that the pilot operation for consumer credit counselling which has been run by the FCC and the LCDI in Limavady since 2001 should be "welcomed and encouraged".

People normally reach consumer credit counselling through recommendations from friends, lenders and the media. Debtline NI is keen to reach all borrowers in financial difficulty who might otherwise be entrapped by for-profit debt management companies and unscrupulous loan consolidators.

To achieve a wide reach, the launch is being supported by a multimedia campaign in newspapers, radio stations and bus shelters between now and Christmas. The cost of the advertising will be equivalent to an annual UK spend of between £2m and £3m.

The Limavady office, which provides consumer credit counselling in Northern Ireland, currently employs two full-time counsellors. It is shortly to be expanded with the addition of two more counsellors and a researcher, thanks to money received through the Community Foundation for Northern Ireland. This means that Debtline NI should be able to deal with any demands generated.

Debtline NI assists borrowers in difficulty in a variety of ways: emergency help and advice, suggestions for better money management and budgeting, in-depth advice sessions and Debt Management Plans.

The first point of contact for people ringing the service is a duty counsellor at the Foundation who assesses the degree of need. People needing in-depth advice are referred on to the counselling centre in Limavady. Although face-to-face counselling is available, the vast majority of counselling is carried out by phone.

Practical assistance as well as checks for over-indebtedness are available via the website.

Commenting on the launch, the Chairman of FCC, Malcolm Hurlston said:

"Credit and debt are part of our way of life, but with low interest rates, low unemployment and rising wages, we have created a climate of complacency among borrowers and lenders alike. Over indebtedness for some is inevitable as most people get into debt through no fault of their own but because of changes in circumstances. We are committed to providing a safety net available to help such people.

"It is my hope that all lenders in Northern Ireland will get behind the initiative and refer customers with difficulties to our service."

Debbie Mills, senior counsellor in Limavady, added:

"Since the beginning of this year, we have given in-depth advice session to over 400 people while we are repaying over £8.2million to creditors. There is a clear need for the service which we are offering and we are well-placed to meet that need."

Debtline NI helplines are open 8am to 8pm Monday to Friday on 0800 027 4990 or www.DebtlineNI.org.

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Notes for editors:

1. The FCC administers the Consumer Credit Counselling Service, the UK's leading debt charity. Last year it helped 100,000 people. Although the service has been available over the phone to people in Northern Ireland since 1993, a locally-based service has only been available since October 2001.
2. LCDI has being in operation for 15 years. It is one of the largest social economic enterprises operating in Northern Ireland. It runs several community based projects including four new social economy services, both locally and, more recently, on a regional basis. LCDI employs 40 people.

Interview opportunity

The Chairman of FCC, Malcolm Hurlston, will be available to talk to journalists about DebtlineNI in Belfast on November 19. Requests for an interview should be made to Frances Walker 07909 563806 or Amy Brown 020 7636 5214.