Category: consumer credit

Plevin v Paragon Personal Finance Ltd and another – WLR Daily

Posted November 18th, 2014 in appeals, consumer credit, disclosure, insurance, law reports, Supreme Court by sally

Plevin v Paragon Personal Finance Ltd and another [2014] UKSC 61; [2014] WLR (D) 487

‘An agreement for payment protection insurance was unfair within the meaning of section 140A of the Consumer Credit Act 1974, as inserted, when the debtor had not been told, before concluding the agreement, that over 70% of the one-off £5,780 premium would be used to pay commission to various parties.’

WLR Daily, 12th November 2014

Source: www.iclr.co.uk

Plevin (Respondent) v Paragon Personal Finance Limited (Appellant) – Supreme Court

Posted November 18th, 2014 in appeals, consumer credit, disclosure, insurance, law reports, Supreme Court by sally

Plevin (Respondent) v Paragon Personal Finance Limited (Appellant) [2014] UKSC 61 (YouTube)

Supreme Court, 12th November 2014

Source: www.youtube.com/user/UKSupremeCourt

New payday loan rules to cap fees, total cost and default charges – The Guardian

Posted November 11th, 2014 in consumer credit, consumer protection, fees, financial regulation, interest, news by michael

‘The UK’s financial watchdog is clamping down on payday loans, with new rules to ensure that borrowers are never forced to repay more than twice the sum of their original loan.’

Full story

The Guardian, 11th November 2014

Source: www.guardian.co.uk

Borrower wins court reprieve over £13,000 debt due to ‘illegible documents’ – Daily Telegraph

Posted July 17th, 2014 in consumer credit, debts, documents, news by tracey

‘ When Harry Moore was taken to court over spiralling credit card debts, he faced losing both his home and business. Mr Moore, 43, had built up a balance of more than £13,000 on an MBNA credit card, and had failed to meet repayments. His debts were passed from MBNA to a debt recovery agency, Hillesden Securities, which in November 2013 took him to court. But the case was thrown out – because the orginal agreement was “impossible to read”.’

Full story

Daily Telegraph, 16th July 2014

Source: www.telegraph.co.uk

FCA imposes cap on payday loans – The Guardian

Posted July 15th, 2014 in consumer credit, financial regulation, interest, news by tracey

‘The cap proposed by the Financial Conduct Authority means that if someone borrows £100 from a payday lender and pays it back within the agreed 30 days, they would pay a maximum of £24 in charges. Fees for late payment would be capped at £15, with a total price cap of 100% of the original loan to stop default charges spiralling out of control.’

Full story

The Guardian, 15th july 2014

Source: www.guardian.co.uk

Scotland and another v British Credit Trust Ltd – WLR Daily

Posted June 13th, 2014 in agency, consumer credit, insurance, law reports, unfair commercial practices by sally

Scotland and another v British Credit Trust Ltd [2014] EWCA Civ 790; [2014] WLR (D) 252

‘When determining whether negotiations between a debtor and a supplier were “antecedent negotiations” within section 56(1)(c) of the Consumer Credit Act 1974, so that the supplier was deemed to have been acting as an agent of the creditor, the court had to inquire whether all the negotiations formed part of one transaction as a matter of fact.’

WLR Daily, 10th June 2014

Source: www.iclr.co.uk

Claims against banks for negligent credit references? The possible impact of the Durkin decision – Hardwicke Chambers

Posted June 6th, 2014 in banking, consumer credit, economic loss, negligence, news by sally

‘Professionals in all walks of life are frequently asked to give references in respect of people or organisations. A negligently given reference may cause the recipient who relies on it or the person the subject of it to suffer pure economic loss in respect of which they will want to recover damages. In Durkin v DSG Retail Limited [2014] 1 W.L.R. 1148, the Supreme Court has, in a couple of short paragraphs, given a timely reminder of the pitfalls than may await anyone, in particular banks and other lenders, who gives a negligent reference.’

Full story

Hardwicke Chambers, 21st May 2014

Source: www.hardwicke.co.uk

Last ditch attempt to thwart POCA in the consumer protection field – Six Pump Court

Posted June 6th, 2014 in confiscation, consumer credit, consumer protection, loans, news, proceeds of crime by sally

‘The Defendant was convicted of 8 counts of carrying on a consumer credit business without a licence (Section 39 Consumer Credit Act 1974 (“CCA”) ) (“illegal money lending”) and was sent to prison. Birmingham City Council whose team has vast experience in and has conduct of most prosecutions in this area of work applied under Proceeds of Crime Act 2002 (“POCA”) to confiscate the Defendant’s property and in particular a house he had purchased with the proceeds of his business. The case was not a “lifestyle” case.’

Full story (Word)

Six Pump Court, 12th May 2014

Source: www.6pumpcourt.co.uk

Hire purchase agreement not necessarily supply of goods at the outset, UK tax tribunal rules – OUT-LAW.com

Posted May 20th, 2014 in consumer credit, news, sale of goods, taxation, tribunals, VAT by sally

‘Hire purchase (HP) agreements will not necessarily amount to a supply of goods for the purposes of VAT liability at the outset of the contract, the UK’s Upper Tax Tribunal has ruled.’

Full story

OUT-LAW.com, 19th May 2014

Source: www.out-law.com

Kásler and another v OTP Jelzálogbank Zrt – WLR Daily

Posted May 1st, 2014 in consumer credit, contracts, EC law, law reports, unfair contract terms by sally

Kásler and another v OTP Jelzálogbank Zrt (Case C‑26/13); [2014] WLR (D) 180

‘The expression the “main subject matter of a contract” in article 4(2) of Council Directive 93/13/EEC of 5 April 1993 on unfair terms in consumer contracts covered a term, incorporated in a loan agreement denominated in foreign currency concluded between a seller or supplier and a consumer and not individually negotiated, pursuant to which the selling rate of exchange of that currency was applied for the purpose of calculating the repayment instalments for the loan, only in so far as it was found, which it was for the national court to ascertain, that that term laid down an essential obligation of that agreement which characterised it. Such a term, in so far as it contained a pecuniary obligation for the consumer to pay, in repayment of instalments of the loan, the difference between the selling rate of exchange and the buying rate of exchange of the foreign currency, could not be considered as “remuneration” the adequacy of which as consideration for a service supplied by the lender could not be the subject of an examination as regards unfairness under article 4(2) of Directive 93/13.’

WLR Daily, 30th April 2014

Source: www.iclr.co.uk

Oh Mr Ghopee – NearlyLegal

Posted April 23rd, 2014 in appeals, consumer credit, licensing, loans, news, striking out by sally

‘God, we are told, loves a trier. Perhaps fortunately, the Court of Appeal takes a less emollient approach with an unlawful money lender who has been repeatedly featured on this site.’

Full story

NearlyLegal, 23rd April 2014

Source: www.nearlylegal.co.uk

Supreme Court hands down judgment in Durkin v DSG Retail Limited and another – Henderson Chambers

Posted April 8th, 2014 in appeals, consumer credit, consumer protection, contracts, damages, news, rescission, Supreme Court by sally

‘On 26 March 2014 the Supreme Court handed down its decision in Durkin v DSG Retail Limited and another. The judgment in this long-running case addresses the issue of a consumer’s right, in the context of a debtor-creditor-supplier agreement, to rescind the credit agreement on lawful rescission of the sale agreement.’

Full story

Henderson Chambers, 28th March 2014

Source: www.hendersonchambers.co.uk

Credit card companies face FCA competition inquiry – The Guardian

Posted April 4th, 2014 in consumer credit, financial regulation, inquiries, news by sally

‘Credit card providers will come under the spotlight of the City regulator, amid concerns that vulnerable customers are being offered “payday loans with plastic” and paying high interest rates which subsidise wealthier borrowers.’

Full story

The Guardian, 3rd April 2014

Source: www.guardian.co.uk

Durkin (Appellant) v DSG Retail Ltd and another (Respondents) (Scotland) – Supreme Court

Posted April 2nd, 2014 in appeals, consumer credit, consumer protection, contracts, damages, interest, law reports, Supreme Court by sally

Durkin (Appellant) v DSG Retail Ltd and another (Respondents) (Scotland) [2014] UKSC 21 (YouTube)

Supreme Court, 26th March 2014

Source: www.youtube.com/user/UKSupremeCourt

Durkin v DSG Retail Ltd and another – WLR Daily

Posted April 1st, 2014 in appeals, banking, consumer credit, damages, duty of care, law reports, rescission, Supreme Court by sally

Durkin v DSG Retail Ltd and another [2014] UKSC 21; [2014] WLR (D) 144

A restricted-use credit agreement under section 12(b) of the Consumer Credit Act 1974 which related to a specified supply transaction was conditional upon the substantive survival of that supply transaction, so that a purchaser who rescinded the supply agreement for breach of contract could also rescind the credit agreement.

WLR Daily, 26th March 2014

Source: www.iclr.co.uk

Richard Durkin: ‘Mixed feelings’ for the man who fought a £250,000 16-year PC World laptop credit dispute with HFC bank – The Independent

Posted March 27th, 2014 in appeals, banking, consumer credit, damages, duty of care, news, rescission, Supreme Court by tracey

‘A man placed on a credit blacklist after a row over payments for a laptop computer said today he had “mixed feelings” despite winning a court battle that lasted 16 years.’

Full story

The Independent, 26th March 2014

Source: www.independent.co.uk

Is a limited recourse agreement no longer an effective weapon against winding-up? – 11 Stone Buildings

Posted March 26th, 2014 in consumer credit, EC law, insolvency, news, winding up by sally

‘This article questions the decision in ARM Asset-Backed Securities S.A. [2013] EWHC 3351 CH which found that a company was insolvent despite a contractual limited recourse provision which provided that the company was not liable to pay its bondholders more than its available funds.’

Full story

11 Stone Buildings, February 2014

Source: www.11sb.com

J P Morgan Chase Bank, National Association v Northern Rock (Asset Management) plc – WLR Daily

Posted February 24th, 2014 in agreements, consumer credit, interpretation, law reports by sally

J P Morgan Chase Bank, National Association v Northern Rock (Asset Management) plc [2014] EWHC 291 (Ch); [2014] WLR (D) 83

‘As a matter of construction of section 77A of the Consumer Credit Act 1974, where a creditor had provided the debtor with a statement which failed to set out the information required by the Consumer Credit (Information Requirements and Duration of Licences and Charges) Regulations 2007, the period of non-compliance commenced on a date to be calculated as if no statement had been served at all, and the period of non-compliance began on the day following the last day on which a compliant statement could have been given.’

WLR Daily, 19th February 2014

Source: www.iclr.co.uk

16-year laptop credit agreement fight reaches supreme court – The Guardian

Posted January 29th, 2014 in consumer credit, consumer protection, contracts, news, sale of goods, Supreme Court by sally

‘A man embroiled in a mammoth 16-year legal battle over a laptop found himself in the “absurd and horrid” position of having to keep paying for an item he had already returned to the shop, the supreme court has been told.’

Full story

The Guardian, 28th January 2014

Source: www.guardian.co.uk

16-year legal battle over laptop reaches UK supreme court – The Guardian

Posted January 10th, 2014 in banking, consumer credit, contracts, news, sale of goods, Supreme Court by tracey

‘All Richard Durkin wanted was a laptop with an inbuilt modem. But what he ended up with was an epic 16-year legal tussle, a £250,000 bill for legal fees and, now, a date at the supreme court. The 44-year-old married father of two has been engaged in a David-and-Goliath battle against the bank that he says “annihilated” his credit rating after he walked into his local PC World to buy a £1,500 laptop in 1998.’

Full story

The Guardian, 9th January 2014

Source: www.guardian.co.uk