An Introduction To Unenforceable Credit Agreements
The Consumer Credit Act (1974) is in place to ensure that individuals who borrow from a lender do so on fair terms
. The CCA stipulates a number of rules, regulations and restrictions and any form of credit must cohere to these stipulations or else it is considered unenforceable.
How do I know if my credit agreement is unenforceable?
There are a number of possible factors which could result in your credit agreement being categorised as unenforceable, the following are just a few of the most common:
- If the Annual Payable Rate (APR) interest increases during the course of the credit agreement.
- If the monthly payments are not within your financial means.
- If the credit limit on a credit card has been increased without your knowledge or consent.
As there are multitudinous factors which could potentially render a credit agreement unenforceable it is well worth contacting a professional for an assessment or audit in order to assess whether you have a claim. From that point they will be able to advise you on the best forms of action.
What happens if my credit agreement is deemed unenforceable due to failure to comply with the Consumer Credit Act (1974)?
If your credit agreement is found to be unenforceable then not only do your payments to cover the debt cease, but you will also receive a settlement figure as remuneration for payments made. If you use a reputable, established financial services organisation then you should expect to receive 100% of the final settlement figure.
What forms of loan and credit can I claim for?
- Unsecured Loans
- Secured Loans
- Credit Cards
- Store Cards
- Hire/Purchase Agreements
- Any other credit which falls within the regulations of the Consumer Credit Act (1974)
How do I make my claim?
By contacting a professional, reputable and competitive debt management organisation for an initial audit to check the validity of a claim, you have made the first step towards bringing about a resolution to an unenforceable credit agreement. And if you have a legitimate claim then they should be able to guide you the rest of the way. Despite misconduct by a high profile organisation in this field, it is a legitimate area of debt management, it is however absolutely essential that you choose a debt management organisation who can be trusted.
There are incredibly strict regulations on debt management companies and financial services organisations as a safeguard to the consumer, so there is no risk in finding out whether you have unenforceable debt.