Is this the end?

[sostress]

Morning all!

My stomach ;P-; turned when I read this, is this the end for EU route? ;EEK ;EEK ;EEK

http://www.credittoday.co.uk/news/news- ... ?news=1979

[Never-In-Doubt]

Re: Is this the end?

We've been discussing this on a private section of the forum, hold fire and I'll merge the threads then you'll see our thoughts and opinion!

[sostress]

Re: Is this the end?

We've been discussing this on a private section of the forum, hold fire and I'll merge the threads then you'll see our thoughts and opinion!

;Hi1 Niddy

Lets hope its some good news!

[Riz]

Re: Is this the end?

Well, it's the end of the week, and no sign of any guidance update from the OFT?

Oh well. As they say, "no news is good news".............

[bobogosing]

Re: Is this the end?

Well, it's the end of the week, and no sign of any guidance update from the OFT?

Oh well. As they say, "no news is good news".............

Lets hope so!

[findingaway]

OFT

Hi everyone ;Hi

I've just read the OFT press release & to my mind it just clarifies what niddy has already told us, I've pasted below:-

The OFT is warning consumers that businesses that claim to be able to use sections 77/78/79 of the Consumer Credit Act 1974 to wipe out their debts are misleading them.

15/10 The OFT has today published a guide on the rights consumers have to request information under these sections of the Act. This explains that for a fee of £1 consumers can request a copy of their credit or hire agreement and information on their account so that they can find out:

what was originally agreed
what the agreement is now (if it has changed)
how much is still owed.
If the lender fails to provide the requested information the agreement becomes 'unenforceable' which means the lender cannot get a court judgement against the borrower, take back hired items or items bought on credit, or take anything used as security (like a car) when the agreement was made.

However, the guide warns that, even if a credit or hire agreement becomes 'unenforceable', consumers would still owe any outstanding money to the lender, interest could be added to their loan or hire agreement, default charges could be made, and any failure to pay could impact on their credit record. The guide also explains that the debt is enforceable again as soon as the lender provides this information.

Ray Watson, Director of the OFT's Consumer Credit Group, said:

'Consumers have a right to information on debts they owe, but it is important that they realise that these sections of the Act cannot be used to write off legitimately owed debts.

'Although the debt can be classified as unenforceable until the right paperwork is provided, people are encouraged to seek advice and help on how they can continue to repay the money they owe. Consumers can get free advice on debt by contacting Citizens Advice or the Consumer Credit Counselling Service.'

[Riz]

Re: Is this the end?

Guidance now issued.

See attachment.

[Riz]

Re: Is this the end?

http://www.oft.gov.uk/about-the-oft/leg ... agreements

Borrowers and hirers are able to ask creditors to send them information about their credit agreements. If information is not provided within 12 working days, the debt becomes unenforceable.

Sections 77, 78 and 79 of the Consumer Credit Act 1974 outline the information creditors must provide to debtors under fixed-term, running account and hire agreements.

Under these sections a debtor can pay £1 to get:

* a copy of their agreement
* copies of some of the other documents mentioned in their agreement
* a statement of account.

If this information is not provided within 12 working days the debt becomes unenforceable. This means a creditor:

* cannot:

• - make the debtor pay the debt before they're supposed to
  - get a court judgment against the debtor
  - take back anything hired or bought on credit, or take anything used as security in the agreement.

* can:

• - ask debtors to pay what they owe
  - send a default notice
  - pass information on to a credit reference agency
  - pass information on to a debt collector
  - sell the debt to someone else
  - take the case to court.

[jen_br]

Re: Is this the end?

But this means after the 12 days.. they can provide a copy and it becomes enforceable again unless of course the documents are not up to scratch right?

[Riz]

Re: Is this the end?

But this means after the 12 days.. they can provide a copy and it becomes enforceable again unless of course the documents are not up to scratch right?

That has always been the case. Even before this from the OFT.

[jen_br]

Re: Is this the end?

yes just double checking.. but according to that post above, now they don't have to send you orginals, or even anything with your signature.. that is new right.. So does that mean for everyone that had unenforceable agreements due to terms and Cons not being linked properly or forged signatures...they are back at square one?

[Riz]

Re: Is this the end?

yes just double checking.. but according to that post above, now they don't have to send you orginals, or even anything with your signature.. that is new right..

Not new. A signature on an agreement for s77-79 request has never been required, and since Carey correctly reconstituted docs have have been OK for a response to a s77-79 request.

So does that mean for everyone that had unenforceable agreements due to terms and Cons not being linked properly or forged signatures...they are back at square one?

No. s127(3) still applies if the creditor wants to take it to court. The creditor would have to prove or satisfy the court that a compliant agreement was actually signed if a court claim is to succeed. That has not changed.

[Travis_Bickle]

Re: Is this the end?

I really hope that thats not the case now - I ( and others ) will be well screwed

[jen_br]

Re: Is this the end?

Thanks for the explaination Riz... I just read the MSE article as well... So really not much has changed has it?

[Riz]

Re: Is this the end?

Thanks for the explaination Riz... I just read the MSE article as well... So really not much has changed has it?

Hardly a thing....

It just firms up what we already know.