Is an application a credit agreement

[sbfido]

Wording as follows

 

Credit agreement regulated by the consumer credit act 1974

 

Customer details blah blah

 

You apply for a loan with us, COMPANY DETAILS. and warrent that all particulars contained in thi document are true and complete.

 

You authorise us to make any enquiries necessary in respect of your application and understand we may refuse your application in which case no specific reason may be given.

 

If your application is accepted you agree to the terms and conditions as set out over leaf.

 

You confirm you are a UK resident

 

(NO INFORMATION OVERLEAF PHOTO COPY ON CCA REQUEST)

 

This appears to be an application regulated by the CCA your thoughts please.

[darkrage]

hi - i think it is an agreement in principle - this gives them the right to do a credit check on you and if there is somewhere to sign on it i think it is binding if they agree to loan you the amount asked for.

 

i may be slighlty incorrect with my wording hopefully an admin can correct my errors or explain a bit better than me

[sbfido]

Thanks, they do need to supply all the terms and conditions when requested via a CCA requested in Decemberr all i got was a front sheet with my name spelt wrong and a dd form

 

cheers

[gizmo111]

A credit agreement has to be signed by both parties - what is the situation with this.

[darkrage]

oh sorry i guess you already knew what i just said - my bad missunderstood what you were asking.

 

never sign anythin with out reading the terms and agreement first ive made too many mistakes by not reading them and then finding out the apr is 29.7% and i then owe twice as much.

 

hope someone can help you:confused:

 

but it is definatly a credit agreement of some sort. bit dodgy not to have t&c overleaf as they state.

[caledfwlch]

But surely, an application form signed or otherwise is no guarantee you were accepted, it merely shows you applied for credit.

[sbfido]

Signed by two people - ??? deiffrent dates name wrong on credit agreement, the acocunt was disputed after the compnay set up several Direct debits on my account.

 

18 in one month.

 

I was then verbally abused by the compnay and you can guess the rest. Company ceased trading but now a well known Colllections compnay pick it up.

 

They agreed to close it on phone and then sent letter, after contacting stated manager refused pay up! as if.

 

No statements or terms sent no deed of assignment either request dec 18

[darkrage]

But surely, an application form signed or otherwise is no guarantee you were accepted, it merely shows you applied for credit.

 

yes it isnt binding until they accept you usually get a cooling off period stated in t&c's too until which you can cancel the agreement.

 

i think what he is saying is - is there anythin he can do about the agreement as he never recieved the terms and conditions - and is this against the cca rules.

 

and to those questions i am not knowledgable enough to answer.

 

steve

[Dave777]

A credit agreement has to be signed by both parties - what is the situation with this.

 

As I understand, not all credit agreements have to be signed by both parties.

[tbern123]

As I understand, not all credit agreements have to be signed by both parties.

 

According to the CCA, they should. For a credit agreement to be considered properly executed it must be signed by the debtor and the creditor. If the agreement is not signed, it is only enforcable with a court order

 

I know they is something about HP agreements signed on Car Dealer ship premises, but I can't remember the guidelines at the moment

[diskmandave]

I CCA'd MINT (RBS) and got a copy of the original application back, no t&c's, account balance, amount outstanding etc.....

 

I bundled all my & their correspondence up (copies) and sent it to my local TS asking for their comments. Will update my own thread when I get a reply.

 

Regards, Dave.

[Dave777]

What about credit agreements made online?

 

Amendments to the Consumer Credit (Agreements) Regulations 1983

4. - (1) The Consumer Credit (Agreements) Regulations 1983[4] shall be amended as follows:

 

(2) In regulation 6 (signing of agreement) -

 

 

(a) In subsection (2) for "colour of the paper" substitute "background medium upon which the information is displayed"; and
 
(b) After subsection 4 insert -
 

" (5) Where an agreement is intended to be concluded by the use of an electronic communication nothing in this Regulation shall prohibit the inclusion in the signature box of information about the process or means of providing, communicating or verifying the signature to be made by the debtor or hirer.".
 

What does subsection (5) mean?

[Rhia]

One of the biggest threads on this forum is Consumer Credit Agreements in the General section. It covers every bit of this subject in great detail and there are some interesting conclusions - too many to add here. Go check it out.

 

http://www.consumeractiongroup.co.uk/forum/general/33174-consumer-credit-act-agreements.html

[diskmandave]

You'll need a supply of water and a sleeping bag for that "thread"!

[pmhcfc]

You'll need a supply of water and a sleeping bag for that "thread"!

 

And a weeks worth of shopping BUT well worth taking a ew days out to wade through it..

[sequenci]

I know they is something about HP agreements signed on Car Dealer ship premises, but I can't remember the guidelines at the moment

 

i'm sure that is to do with whether the agreements can be cancelled or not.

[sbfido]

There is also a tick box which asked if you agree to be bound by the terms and conditions tick here it blank

 

would this be helpful

 

the otherthing i found was that the agreement is dated wrongly stating i signed on the 7th of June, yet insurance started a week earlier.

[joneshousehold]

There is a lot of discussion about whether an application can also be an agreement. To be an executed agreement it must be signed by both parties (although the debtor can sign some other document in some circumstances). The agreement must contain certain information and this is set out in some detail in the OFT guidelines here

http://www.oft.gov.uk/shared_oft/business_leaflets/consumer_credit/oft018.pdf

There were later changes in 2004 so these may have an impact and I believe there is further information about this on the OFT site.

If the document is as you have described it then it seems to be unenforceable as it does not have the prescribed terms. These are detailed in the guidelines. Give yourself some time to go through it and find out what's missing.

 

I have assumed this is a cancellable agreement but if not just post here and I will give you a link to the non-cancellable guidelines (they can be found on the OFT website if you search for 'cancellable')

[joneshousehold]

More information here too

http://www.consumeractiongroup.co.uk/forum/general-debt/74733-credit-agreement-application-21.html#post711598