New guidance on debt collection is in the early stages of being drafted before going to consultation, the Office of Fair Trading (OFT) has confirmed.

The revised guidance will focus on the issue of data accuracy, specifically allegations about people being chased for debts on the basis of false or wrong information provided by creditors to debt collection companies.

It also aims to address the issue of messages being passed through neighbours during the trace process, and clarify that the proper procedures will apply to both agencies and other license holders who engage in outsourced or in-house debt collections.

The OFT has invited trade bodies including the Credit Services Association (CSA) to provide feedback on the proposals.  It is expected to draft guidance imminently before going to a full 12-week consultation, after which times the OFT expects to publish its final guidance in the autumn.  It is believed that the OFT guidance will not change the regulator's current stance on citing unfair business practices.

A spokesman for the OFT said: "We are writing to the relevant creditor trade bodies to ask their views.  Once we have listened to their concerns we will be publishing draft guidance."

Claire Aynsley, head of compliance at the CSA, said: "The OFT has spoken to us at length and advised us that the new guidance will focus on creditors and will centre on data accuracy and the sale and purchase process."

It is also believed that the OFT has during the past few months increased the amount of work it has carried out in visits and investigations.