Consumer credit in the UK is regulated by the Consumer Credit Act 1974 (amended in 2006) and the Financial Services and Markets Act 2000.

 

Together, the legislation sets out the legal duties and rights of both the lender and the borrower including:

• the information consumers should be provided with before they enter into a credit agreement

• the content and form of credit agreements

• the method of calculating annual percentage rates of interest (APR)

• procedures relating to events of default, termination and early settlement

• credit advertising

• The lender's liability should there be any misrepresentation or unfair terms.

• additional protection credit card purchases costing more than £100 and up to £30,000 under Section 75 of the Consumer Credit Act

 

What credit agreements are covered?

• bank loans

• credit and store cards

• hire purchase agreements

• conditional sale agreements

• secured or unsecured loans

 

The legislation is in place to protect consumers including individuals and partnerships of up to three people; limited companies are not protected. 

 

When things do go wrong our team are experts in representing claimants in consumer credit disputes. We have been successful in writing off the credit agreements and recovering compensation from the finance companies who provided the credit. 

In many cases we are able to act on a contingent basis, meaning you will only be charged if we are successful.

 

The most common examples of mis-sold consumer credit agreements relate to the sale and finance of:

• Solar panels

• Timeshares

 

If you believe may have been mis-sold a credit agreement, contact us now.