Quickie - Are all HP loans under 25k classed as regulated?

[ZR120]

as title really

 

basically capital bank, who my car in financed with on a HP agreement, are saying even though i am over 50% through the agreement, i can voluntary terminate, as its not a regulated agreement. Surely this can be right, as then all other companies would just say "oh ours isnt a regulated one either" as its only to their beneft as far as im aware. or are there any other factors to consider in an unregulated agreement?

 

I am trying to find my original copy of the agreement, but not having any luck so far. They said they have it on screen, so i asked for it to be emailed and she "oh we cant email". I said ok then print it and fax it across "oh, the printer isnt working" - hmmmmm how convenient. So im guessing they may try & "doctor" the document.

 

(i asked this in the middle of another thread, but thought by starting a new thread about this question i may get a wider range of response)

[pt2537]

Hi, i will try and answer this with extracts from the Consumer Credit Act 1974

 

section 8 defines a credit agreement

8. Consumer credit agreements.

— (1) A personal credit agreement is an agreement between an individual ( “the debtor ”) and any other person ( “the creditor ”) by which the creditor provides the debtor with credit of any amount.

(2) A consumer credit agreement is a personal credit agreement by which the creditor provides the debtor with credit not exceeding [F1 £15,000].

(3) A consumer credit agreement is a regulated agreement within the meaning of this Act if it is not an agreement (an “exempt agreement ”) specified in or under section 16.Annotations:

Amendments (Textual)

F1

"£15,000" substituted by S.I. 1983/1878, art. 4, Sch. Pt. II

 

 

 

section 16 states

16. Exempt agreements.

— (1) This Act does not regulate a consumer credit agreement where the creditor is a local authority . . . F1 , or a body specified, or of a description specified, in an order made by the Secretary of State, being— [F2 (a)

an insurer;]

 

 

(b)

a friendly society,

 

©

an organisation of employers or organisation of workers,

 

(d)

a charity,

 

(e)

a land improvement company, . . . F3

 

(f)

a body corporate named or specifically referred to in any public general Act.

 

 

[F4 (ff)

a body corporate named or specifically referred to in an order made under—

section 156(4), 444(1) or 447(2)(a) of the Housing Act 1985 [F5 section 156(4) of that Act as it has effect by virtue of section 17 of the Housing Act 1996 (the right to acquire),],section [F6 223 or 229 of the Housing (Scotland) Act 1987], orArticle 154(1)(a) or 156AA of the Housing (Northern Ireland) Order 1981 or Article 10(6A) of the Housing (Northern Ireland) Order 1983; or] [ F7 , or

 

(g)

a building society.] [F8 , or

 

 

[F9 (h)

a deposit-taker.]]

 

 

(2) Subsection (1) applies only where the agreement is— (a)

a debtor-creditor-supplier agreement financing—

(i) the purchase of land, or

(ii) the provision of dwellings on any land, and secured by a land mortgage on that land; or

 

(b)

a debtor-creditor agreement secured by any land mortgage; or

 

©

a debtor-creditor-supplier agreement financing a transaction which is a linked transaction in relation to—

(i) an agreement falling within paragraph (a), or

(ii) an agreement falling within paragraph (b) financing—

(aa) the purchase of any land, or

(bb) the provision of dwellings on any land,

 

and secured by a land mortgage on the land referred to in paragraph (a) or, as the case may be, the land referred to in sub-paragraph (ii).

 

 

[F10 (3) Before he makes, varies or revokes an order under subsection (1), the Secretary of State must undertake the necessary consultation.

F10 (3A) The necessary consultation means consultation with the bodies mentioned in the following table in relation to the provision under which the order is to be made, varied or revoked: TABLE

 

 

therefore i suggest that your agreement is regulated under the act, that as far as i am aware

 

 

regards

paul

[ZR120]

thanks Paul, that makes alot of sense

 

So, you think this is just a dodgy tactic to prevent me from returning the car, and them "losing out" on the intrest over the 2nd half of the term

[pt2537]

MY suggestion would be to send them a CCA Request or a sar

 

the cca request template can be found here http://www.consumeractiongroup.co.uk/forum/general-debt/20758-creditors-dcas-letter-templates.html

 

you need letter N

 

and you will need to send a one pound postal order with it too

 

under the cca rules, they must supply you a copy of the document within 12 working days

 

the SAR can be found in the templates section

 

i hope this helps

 

regards

 

paul

[pt2537]

i would go for the cca request first by the way, its easier and will get you a response quicker

 

regards

paul

[ZR120]

well i sent them a letter earlier today by recorded delivery, saying im going to voluntary terminate (from the templates library)

 

will see what happens from here

[pt2537]

ok not a problem

 

if you need any help let us know

 

 

regards

paul