Bill payment service firm ceases trading

A BILL payment service company that handled thousands of euro on behalf of Dublin customers has ceased trading and its accounts have been frozen by the Central Bank.

Rents and Co, based in Crumlin Cross, has written to its clients this week to advise them that it is closing and will no longer pay bills on their behalf.

In a letter the company told its customers that Rents and Co would contact its creditors to advise them of the change. The company also wrote that it was auditing the customer accounts in its system and would be back in touch in the coming weeks.

The Central Bank had intervened in the public interest and frozen the accounts of the firm, Minister for Finance Michael Noonan said in the Dáil yesterday. The bank was assessing the position to see what assets were available in the accounts, he said.

People before Profit TD Joan Collins told the Dáil that the letter did not say whether customers’ money would be refunded in full and urged Mr Noonan to ensure customers were paid first.

Accounts filed by the company show that in 2010 it had cash on hand and in the bank of €2.4 million, creditors of €2.5 million and profits of €31,000.

The closure follows a Central Bank review of bill and debt management firms after the collapse of Home Payments Ltd last year.

The Central Bank had informed a number of companies that their activities were subject to regulation and forced them to take additional steps to protect client funds.

In a statement issued yesterday the Central Bank advised customers of Rents and Co “to make contact with their creditors to discuss new arrangements which need to be put in place for the future”.

Rents and Co had operated for more than 40 years. It paid utility bills as well as mortgages for customers. Many clients had their annual bills averaged and a company representative would collect the money from their home regularly.