Consumer Credit Act – Required Information

The Consumer Credit Act and all of the various regulations and orders which have recently been introduced are very strict on what information must be presented to the consumer, when it must be presented, and the order and manner in which it is to be shown. This is so the consumer is in no doubt as to what they are committing to, and are able to make like for like comparisons between various credit providers.

For all credit agreements made after 31/05/05, the following information must be made available to you either before the agreement is concluded or immediately afterwards.

  • Nature of the agreement (fixed sum loan, HP, credit card etc)
  • Parties to the agreement (the creditor and you)
  • Key Financial Information, including amount of credit, credit limit, agreement duration, total amount repayable, APR, and repayment requirements.
  • Other Financial Information, including description of gods or services, cash price of goods, any advance payments, total charge for credit, rate of interest, and any variations in this rate.
  • Key Information, including cancellation rights (or absence of), early repayment rights, and all other statutory rights and remedies available to you
  • A signature box – if you have not already signed and, where applicable, any separate boxes indicating the optional purchase of additional products (such as payment protection insurance)

All of this information must be presented clearly, legibly and prominently. It should be shown together on a separate document and sent to you either prior to signing or within seven days afterwards. It needn’t be a hard copy and can be sent to you by email as a PDF. You can however request a paper copy of the executed agreement at any time. This is sometimes called a CCA request.

If any of this information is missing, or simply not provided to you within seven days, it may mean the agreement is legally unenforceable, and the creditor may have to seek a court order.

Leave a Comment

9 comments… add one
  • Renee 5 May, 9:16 pm

    I have looked into the Consumer Credit Act and could not find exact sections that would correspond to the information that has to be provided before or after the agreement is concluded. Could you please advise me on the appropriate sections?
    Would much appreciated.
    Thank you

  • harold 26 January, 7:44 am

    signed for new windows on loan but want to pay cash on card salesman said he would give me another 500pounds off if i dont cancell untill on the day they are fittered and dont sign complesion form from the loan company on the day i smell a rat what are the come backs i have the cash, and what are the company rights on the day

  • Jennie Langley-Mills 10 June, 12:33 pm

    Purchased kitchen from MFI, finance was through Blackhorse, Cardiff.
    I signed for loan but was not told that the total included PPI. I contacted Blackhorse on many occasions regarding the interest rate and dissatisfaction with kitchen, but Blackhorse did not help. I now understand I can claim but Blackhorse are asking me to prove that PPI was built in with price as they have no paperwork as proof. I understand from the 1974 Consumer Credit Act they are liable under section 55A of the Consumer Credit Act – which requires creditors (or intermediaries acting on their behalf) to provide an adequate explanation to the borrower pre-contract. This must enable the borrower to assess whether the agreement is suited to his needs and financial situation. In particular, the explanation must cover any features of the credit which may make it unsuitable for particular types of use, how much the borrower will pay periodically and in total, features which may have a significant adverse effect in a way that the borrower is unlikely to foresee. However, the single sheet they sent me did not include any of the aforementioned. Could you advice if Blackhorse should be aware of the fact that the paperwork they have should be detailed as stated?

  • Wayne 26 August, 11:39 am

    beware of the changes of the consummer credit act 1974 rhar may have been ammended and may form part of the consumer credit act 2006 before you make your claim as the courts will not be happy when you make your claim and you have not thoroughly thought this thru Good Luck

    good luck

  • Aparna 29 September, 4:35 am

    Can the creditor increase the default fee during the duration of the loan? If so, does the consumer have a right to withdraw from the loan?

  • Mr.M Nasim 9 May, 3:39 pm

    I. want to konw that why credit cards issuing companies are chrging such a high interest rate i.e. 23% where as bank of england interest rate is 0.05%. So therefore, I, wonder if anything can be done, like the way PPI compensation is being paid. Banks should also be hold responsible for over charging the interest from the consumers. From legal point of view banks should pay back over charged interest, whinch they are charghing for a long time. I, will be greatful if someone take legal action to stop this bad practice. Thank you.

  • rosemary rushton 29 July, 12:08 am

    how can you prove you was not given any information concerning a credit agreement such as APR

    monthly payment length of loan not given paper work in fact no information whatsoever

  • v.Lepp Robbins 22 November, 12:51 pm

    I got a letter from my bank stating they hanren’t complied with CCA rules for the peroid April 2015 –Nov 2015.they credited my loan account £57.They stated another letter is pending.The loan is from2010.I owe £2′ 558 to date.What if these infringements go back further?What shall I do now?

  • bipendra pratap 9 February, 6:34 pm

    dear sir. my concerned is if the creditors do fraud in my credit file then it is the all my credit agreement was not done right for consumer if the different person name in my credit file was bankruptcy allready my credit file is damage this is a beach the credit agreement act 2005 and 2006 … thankyour..