Consumer Credit Act template

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Revision as of 15:39, 6 September 2007 by Oneofakind (talk | contribs) (Introduction)

Introduction

When reading the CAG forums, you will often see advice suggesting sending a "CCA request". This is a letter to a creditor or debt collection agency asking them for a copy of an executed credit agreement, without which a debt may be unenforceable.

Sending a CCA request effectively puts the account into dispute, during which time the creditor may not take any further collection action. This can be useful for buying yourself some time, or in cases where you genuinely do not recognise the debt to which they are referring.

Without a valid agreement, the debt is unenforcable without a court order.

It is recommended that you do not sign the letter with your usual signature, as there have been rumours of creditors "cutting and pasting" it onto their own paperwork. You could use a handwriting font in your word processor, or sign over a thick line which would make it obvious if your signature was tampered with.

When to send a CCA request

You should send a CCA request when you genuinely dispute a creditor's right to collect an alleged debt. Please be aware that there are certain types of debt which will not be covered by the advice here, such as utility bills, bank overdrafts, CCJs and court fines.

Suggested template

This template is adapted from "Letter N" on the Consumer Action Group forum. You can amend it as necessary.


The Loan Company
Company House,
Church Street,
Newtown,
Kent,
R1 7HG

Dear Sir/Madam

Re:− Account/Reference Number 1234567890

I/we do not acknowledge any debt to your company or its clients.

With reference to the above agreement, I/we would be grateful if you would send us a copy of this credit agreement.

I/We understand that under the Consumer Credit Act 1974 (Sections 77−79), I/We are entitled to receive a copy of our credit agreement on request. I/We enclose a payment of £1.00 which represents the fee payable under the Consumer Credit Act. Please note that under no circumstances should this payment be set aside any alleged debt. If you are unable to supply the documentation requested, this fee should be returned.

I/We understand a copy of our credit agreement should be supplied within 12 working days.

I/We understand that under the Consumer Credit Act creditors are unable to enforce an agreement if they fail to comply with a request for a copy of the agreement under these sections of the Act.

We look forward to hearing from you.

Yours faithfully



Mr A N Other

Timescales

The Consumer Credit Act states that a creditor must send the agreement within 12 working days of receiving your request, otherwise they are in default. You should count the day of receipt as day zero, and not include weekends or bank holidays in your calculations.

If the default continues for a further month, the Act states that the Creditor commits an offence.

It is strongly recommended that you send the request by Recorded Delivery, which for a standard size and weight letter costs £1.04. Keep the receipt safe, and use the Royal Mail tracking service at www.royalmail.com to check when the letter is signed for.

Is the agreement enforcable?

When you receive your reply, you should check carefully that it is an enforceable agreement before making an offer of repayment.

If you have access to a scanner, you can scan the reply and - taking care to obliterate ALL personal details - upload it to one of the many free photo sharing websites such as www.photobucket.co.uk . Post a link to the image on the Consumer Action Group debt forum, and members will give their advice.

Please be aware that any advice given on the forum is not legally binding, and if you are in any doubt you should seek the advice of an organisation such as Trading Standards or the Citizens Advice Bureau.

External links