All Licencees of New Zealand Credit Management Limited ("NZCML") shall conduct their business in accordance with this Code of Ethics, and shall be conditioned on their continuing conduct in accordance with this Code of Ethics.
Each Licencee shall:

(1) In general conduct:

• Maintain a high standard of fairness, honesty and courtesy in the conduct of business and avoid any activity which would bring reproach on this profession or NZCML.
• Provide efficient collection service in the territory/area served; protect the interest of clients; and give prompt and diligent attention to all files received for collection, trace, default, process service or litigation.
• Operate under a name which does not imply or suggest that the Licencee is a branch of or associated with any Court. The letterhead of the Licencee should clearly indicate the Registered/Incorporated operating entity of the Licencee.
• Make certain that all personnel are familiar with this Code of Ethics and that they fully comply with it.

(2) In relation to clients:

• Comply with instructions given by clients in the processing of a claim promptly or give reasons for not doing so and ask for further instructions.
• Maintain a trust account separate and apart from the Licencee's operating account which should be titled as "Trust Account" and into which all debtor payments and third party remittances shall be deposited by the Licencee. All remittances to clients should be from the trust account only.
• Identify clearly and accurately all charges/disbursements to the client. Service, Skiptracing and/or third party charges (i.e., Court filing fees) incurred by the Licencee are separate and apart from commissions and fees earned which must be clearly identified and shown separately. A full accounting of any withdrawal fees charged must be provided to the client at the time withdrawal fees are assessed.
• Remit to clients as specified by the debtor reference funds collected.
• Within 30 days after the close of a calendar month during which monies are collected for a client, account in writing and remit to that client all monies collected and received during the month less commissions and service charges. If the amount due the client is less than $100.00, remittance may be deferred for an additional 30 days, provided such deferral of remittance is approved by the client.
• Not permit any client to use any forms, letters or other material bearing the Licencee's name as a preliminary service for which no charge is made in the collection of a debt (free demand service), unless such form, letter or other collection material states that the debt will be placed with the Licencee for collection if it is not paid within a specified period of time after the date thereon.
• Display the Official NZCML Logo on the letterhead of all correspondence sent to clients.
• Marketing of services should be professional and courteous. No activities should be engaged in that will bring reproach to this industry or NZCML.

(3) In relations to debtors:

• Avoid deceptive practices, statements or materials which would cause debtors to believe they are dealing with someone other than the Licencee. A Licencee when contacting a debtor shall not engage in any subterfuge such as stating they are a private investigator conducting an investigation of the debtor.
• Show due consideration/empathy for debtor's problems and deal with them according to the merits of their individual cases.
• In the event a claim is disputed, obtain from the client and provide the debtor with such documents or information necessary to validate the debt.
• Avoid any harassment by telephone or personal calls.
• If the debtor states that he is represented by a lawyer and identifies them or if the Licencee is contacted by debtor's lawyer, then the Licencee shall deal directly with the lawyer. However, should the lawyer fail to respond to calls or letters from the Licencee, then the Licencee may continue to contact and negotiate with the debtor.
• Not represent that, if payment is not received by a specific date, a claim will be placed with a lawyer or litigation will be commenced, unless:
  • the representation indicates that such action has been authorised by the client, and
  • such representation is true.
• Threaten to damage a debtor's credit reputation if they do not pay or fail to cooperate by notifying other vendors and financial institutions that deal with the debtor.
• Similarly debtors should:
  • not attempt to avoid the obligation to satisfy debts they have incurred
  • promptly contact creditors and debt collectors when they are experiencing financial difficulties
  • attempt to establish repayment arrangements
  • be candid about their financial circumstances in dealings with creditors/collectors.

(4) Compliance:

This is a statement of Data Protection/Privacy/Compliance adopted by NZCML.

• NZCML needs to collect and use certain types of information about people with whom it deals in order to operate. These include current, past and prospective employees, suppliers, clients, debtors, and others with whom it communicates. In addition, it may occasionally be required by law to collect and use certain types of information of this kind to comply with the requirements of government departments for business data, for example. This personal information must be dealt with properly, however it is collected, recorded and used - whether on paper, in a computer, or recorded on other material - and there are safeguards to ensure this in the Privacy Act 1993 and/or Credit Reporting Privacy Code 2004.
• We regard the lawful and correct treatment of personal information by NZCML as very important to successful operations, and to maintaining confidence between those with whom we deal and ourselves. We ensure that our organisation treats personal information lawfully and correctly.
• Specifically, the Principles require that personal information:
  • Shall be processed fairly and lawfully and, in particular, shall not be processed unless specific conditions are met;
  • Shall be obtained only for one or more specified and lawful purposes, and shall not be further processed in any manner incompatible with that purpose or those purposes;
  • Shall be adequate, relevant and not excessive in relation to the purpose or purposes for which they are processed.