credit card cheques

[Bricktop]

Had a spare 1/2 hour so I thought I would have a browse through the consumer credit act 1974 HERE

I came across this..

[F151ARestrictions on provision of credit card cheques

(1)A person who provides credit card cheques otherwise than in accordance with this section commits an offence.
(2)Credit card cheques may be provided only to a person who has asked for them.
(3)They may be provided only on a single occasion in respect of each request that is made.
(4)The number of cheques provided in respect of a request must not exceed three (or, if less, the number requested).
(5)Where a single request is made for the provision of credit card cheques in connection with more than one credit-token agreement, subsections (3) and (4) apply as if a separate request had been made in relation to each agreement.
(6)Where more than one request for the provision of cheques is made in the same document or at the same time—
(a)they may be provided in respect of only one of the requests, but
(b)if the requests relate to more than one credit-token agreement, in relation to each agreement they may be provided only in respect of one of the requests made in relation to that agreement.
(7)“Credit card cheque” means a cheque (whether or not drawn on a banker) which, whenever used, will result in the provision of credit under a credit-token agreement.
(8)Accordingly, “credit card cheque” does not include a cheque to be used only in connection with a current account.]

Just a thought.......

Is there any mileage in this for people fighting the CC companies that they were provided cc cheques without asking for them ?
Reclaiming interest paid, or the value of the spend not being a legal part of the agreement or some such thing ?

Not sure if/how it could be used but I know I spent a crapload of cc money using these things, never asked for them but used most of the ones I had been given (they were usually at the bottom of the statements or send separately at random intervals).

Or am I drugs for bringing this up

[Never-In-Doubt]

Re: credit card cheques

Is there any mileage in this for people fighting the CC companies that they were provided cc cheques without asking for them ?

within the card T's & C's it'd usually clearly state if cheques were to be issued which usually covers it i.e. "you agree from time to time that we can send you cheques to use against your account...."

I would presume this covers them against s.51(a)

[Bricktop]

Re: credit card cheques

Damn !

When I send you my T&C's over make sure that is in there, some of those cheques I wrote were for £1,000's

[Never-In-Doubt]

Re: credit card cheques

Damn !

When I send you my T&C's over make sure that is in there, some of those cheques I wrote were for £1,000's

I'm saying I presume that to be the case, however with the CCA one act is never the end result, they all interwine and others will supercede the condition that is s.51. It's not something I ever look at cos it holds little, if no, weight against any form of fight.

[BBoo]

Re: credit card cheques

I think it is now illegal to send them unless they are specifically asked for. Have a feeling it was a while back though.

[pompeyfaith]

Re: credit card cheques

MBNA drops credit card cheques | Money | The Guardian

[Bricktop]

Re: credit card cheques

Just had visions of....

Dear Credit Card Co, I know I 'might' owe you £7k but as I spent £4k of that on cc cheques and another £3k is interest on those unasked for cheques, you can swivel.

or am I doing that anyway via the unenforceability route

[kilasuit]

Re: credit card cheques

Isn't this an addition to the act. I.e not originally there but recently added?

[BBoo]

Re: credit card cheques

Isn't this an addition to the act. I.e not originally there but recently added?

Quite possibly. I just have a vague memory of reading it somewhere - I may be wrong.

[kilasuit]

Re: credit card cheques

http://www.legislation.gov.uk/ukpga/...?timeline=true Section 51 CCA with showing to changes highlighted in link below


linked to this here



http://www.legislation.gov.uk/ukpga/2010/28/section/15 Financial Services Act 2010

[BBoo]

Re: credit card cheques

Gosh - I knew it was a while ago, didn't realise it was that long! I'm beginning to get restored faith in my memory!

[alangee]

Re: credit card cheques

Does issuing credit card cheques make it a multiple agreement?

You have a credit card that is of restricted use to companies that accept it, but the cc cheque is unrestricted use to anyone.

Just a thought.

Alan

[kilasuit]

Re: credit card cheques

Does issuing credit card cheques make it a multiple agreement?

You have a credit card that is of restricted use to companies that accept it, but the cc cheque is unrestricted use to anyone.

Just a thought.

Alan

No as there not restricted in the sense of only being able to use in 1 store (store cards) plus Credit cards are universally accepted worldwide.

[alangee]

Re: credit card cheques

Thats true, but, there are many places that do not accept American Express, but I could purchase from them by using an Amex cheque. Thus turning my Amex account from restricted to unrestricted.

Alan

[kilasuit]

Re: credit card cheques

Thats true, but, there are many places that do not accept American Express, but I could purchase from them by using an Amex cheque. Thus turning my Amex account from restricted to unrestricted.

Alan

Again thats not defined as restricted

for a credit product to be restricted it would need to only be acceptable at a select few retailers for example my old comet store card could only be used in a comet store hence it was restricted

An Amex may be less widely accepted than Visa or Mastercard but its not restricted at all