However, the consumer must repay the principal already taken and the interest accrued no later than 30 days after the borrower notices the withdrawal. In the event of non-payment within 30 days, the consumer is subject to late interest at the legal rate. The lender is not entitled to consumer compensation, with other than reimbursement of non-refundable fees and amounts that the lender may have paid to a public management authority. Information relating to your agreement under the Consumer Credit Act Type letter The consumer has the right to seek remedies against the lender if he has applied for an action against the supplier of goods or services, but has not received satisfaction if the goods or services are satisfied: use this letter, if you wish a copy of your credit contract and/or an account statement and if the creditor refused to send you a copy. Don`t forget to attach the fee of 1 euro if you send the letter to your creditors. You will find information about the use of this letter in our information sheet credit contracts – information obtained. Simply put, the example below is limited to telephone agreements: a credit contract is a contract between a lender (the lender) and a consumer when the lender grants or agrees to grant the consumer credit in the form of a deferred payment, a loan or similar financial housing. If there has never been a written agreement, the creditor cannot send you a copy. If this is the case, the creditor must inform you. But if the creditor has simply lost your agreement, it must provide a “true copy” with the same details. Consumers have 14 days to cancel the credit contract.
They may inform the lender, either in writing or orally, that they wish to exercise their right of withdrawal. Consumers do not need to justify their decision to opt out of the credit contract. The FCA has published detailed advice on how creditors should act in the consumer Credit Sourcebook (CONC). See the later useful contacts section. The fee for requesting a copy of your contract and statement under sections 77, 78 and 79 of the Consumer Credit Act is $1. There is no charge if you request an account statement statement pursuant to Section 77b of the Consumer Credit Act. In the event of an early repayment, the consumer may be required to pay compensation to the lender, provided the consumer is informed of the transfer, unless the original lender continues to manage the credit contract with the consent of the transferee. The termination of the contract means that the credit contract is automatically terminated and has never existed.
If the agreement stipulates that payments made by the consumer will not immediately amortize the credit, the contract should clearly state that the credit contract does not guarantee repayment of the total amount of credit under the credit contract, unless such a guarantee is granted. Consumer credit contracts concern, on the one hand, professional lenders and, in some cases, credit intermediaries and, on the other hand, consumers who enter into a consumer credit contract. The lender or, if so, the credit intermediary must also provide the consumer with sufficient information to enable the consumer to compare the various available credit contracts and determine whether the proposed credit contract corresponds to their needs and financial situation.