Credit Management July and August 2021

NEWS ROUNDUP
CICM partners with CES and
champions call for change
THE Chartered Institute of Credit
Management (CICM), the world’s largest
professional credit management
organisation, has agreed a new partnership
agreement with Court Enforcement
Services (CES), a leading provider of High
Court Enforcement activities.
Several of CES’ senior management team
have been members of the CICM for many
years, and its services and advice have
been relied upon by many in the industry
for some time. Developing this relationship
into a formal partnership will extend CES’
reach, but also see it offer webinars, training
and share best practice, and strengthen
its professional relationships with credit
managers and debt recovery solicitors.
Court Enforcement Services will also
work closely with the CICM to support the
campaign to allow cases to be transferred
to High Court Enforcement for debts under
£600. The current system means debts
below the threshold can only be enforced
by county court bailiffs, but with the service
being overwhelmed by a series of national
lockdowns, work is being done to
provide wider access to justice.
Sue Chapple FCICM, Chief
Executive of the CICM, says the
Institute is pleased to be partnering
with a company that puts
professionalism and integrity
at the heart of its work: “With a
wave of insolvencies expected
over the coming months, it
is more important than ever
Funding Circle sells new tranche of debt to Azzurro
FUNDING Circle, the peer-to-peer lending
marketplace, has completed a further
sale of commercial debts to Azzurro
Associates, the commercial debt buyer,
and told investors it will enable returns on
defaulted loans of about 30p in the pound.
According to a report in The Times,
the transaction represents close to two
percent of Funding Circle’s loans under
management. Since it was launched
a decade ago, Funding Circle, which
connects investors with small business
borrowers, has facilitated some £11.5
billion of lending to about 100,000
companies.
The sale of almost 1,900 personal
guarantees to Azzurro follows a smaller
deal last year which led to reassurances
being given by Funding Circle and Azzurro
that distressed borrowers would be treated
fairly.
Funding Circle said in a statement that
that the industry pursues a professional
and ethical approach to collections and
enforcement.”
Wayne Whitford FCICM, co-founder
and director of CES, is delighted to be able
to give back to the organisation and its
members that have provided him with so
much advice and support over his 30 years
in the industry: “I am proud to be a Fellow
of the CICM. I and so many other members
of staff at CES have benefitted from CICM
membership and training over the years,
and with learning and development such
a key focus for us as a business, we are
delighted to be in a position to provide the
CICM and its members with information
and resources relating to enforcement
services.
“The CICM has enabled me to build a
significant network of likeminded people
and resulted in many trusted client
partnerships as well as many valued
friendships. I look forward to continuing to
network with and support new entrants to
the profession as well as existing clients
and contacts in the credit industry through
this partnership.”
Since forming in 2014, CES says it has
managed over 100,000 High Court Writs
and recovered more than £187m
for its clients. Its multi-awardwinning
Agent Patroller App
allows real-time reporting
between the enforcement
agent on the street, the head
office and the client.
Wayne Whitford
it had worked carefully on due diligence
before the sale, including consulting
with the all-party parliamentary group
on fair business banking, which sought
assurances over the fair treatment of
borrowers and an agreement that business
assets would be pursued before personal
ones. Azzurro was contractually obliged
to provide the ‘equivalent level of care’ as
Funding Circle in its collection tactics, a
spokesperson for the online lender said.
Andrew Birkwood FCICM, Chief
Executive and founder of Azzurro
Associates, moved quickly to reassure
the market as to the treatment customers
could expect: “Azzurro Associates is
authorised and regulated by the Financial
Conduct Authority (FCA) and upholds the
highest standards when interacting with
its customers in order to reach affordable
solutions with them,” he says.
“We have also received Interim
>NEWS
IN BRIEF
Tasty treat
ALDERMORE bank has provided a
£1.3 million commercial development
finance loan to Cookridge Estates LLP,
the West Yorkshire property developer,
to fund the construction of two detached
drive thru units built as part of a larger
roadside and retail development. The
two drive thru units have been pre-let
to Costa Coffee and Burger King. The
development site also includes a Lidl
food store which is trading, and a plot
for a petrol station and shop which is
currently under construction.
Unwise Council
THE average person in England needs
to earn 20 days’ worth of wages to cover
the cost of their council tax bill, while in
some areas the average employee would
need to work for a full month to pay the
bill. The analysis of official ONS figures
by A-Plan Insurance reveals that on
average workers in Pendle need to work
for the longest amount of time to cover
their council tax bill. The Lancashire
borough topped the list of more than 300
areas studied as it has England’s lowest
median gross salary and the 16th highest
average council tax bill.
Registration to the Business Standards
of the Lending Standards Board and are
striving to set the benchmark for Treating
Customers Fairly in the recovery of
commercial and consumer debts.”
Credit Management understands
that the portfolios acquired by Azzurro
Associates from Funding Circle since
October 2020 relate to loans that defaulted
pre-COVID. It also understands that there
has not been a single complaint upheld
from any of Funding Circle’s former
customers, whose debts were
purchased by Azzurro.”
Lisa Jacobs, Funding Circle’s
European Managing Director,
confirmed that the transaction
brought forward recoveries for
more than 90 per cent of
(retail) customers that
have lent through the
platform. Andrew Birkwood
Advancing the credit profession / www.cicm.com / July & August 2021 / PAGE 7