Unenforceable Credit Agreements and Claims Management Companies - Guide to Making a Claim

A Guide to Making a Claim on Unenforceable Credit Loan Agreements
If you have ever had a credit card or loan, the chances are your agreement is regulated by the Consumer Credit Act 1974. Some very important straight-forward information about unenforceable credit agreements and how to make a claim to clear your debt.
If you have any unenforceable credit agreements you could reclaim thousand of pounds. You can use a Claims Management Company to help you write off your loan or credit card. But be careful to choose the right company
Some Claims Management companies charge fees on conclusion of your claim of 30%, some offer a free audit , which is not an audit but a simple preliminary review, made by any company to assess if you may have a claim.
It is not possible to guarantee you have an unenforceable agreement until it has been audited by a solicitor and any breaches have been identified. So beware of misleading claims.
How is this possible?
It is possible due to the 1974 Consumer Credit Act which states that in law, certain terms must be contained in the agreement you signed. If the loan or credit card provider hasn't followed these rules then your agreement is an unenforceable credit agreement and can be written off.
You must have signed the agreement which contained the terms and conditions of the contract in the same document and not in a separate document. If the terms are not in the same document then the contract is unenforceable by your lender.
All credit agreements taken out before April 2007 are potential claims as an unenforceable agreement. Breaches of the 1974 Consumer Credit Act can enable the Claims Management Company to write off your debt.
You can do it yourself, if you have the time and money for a possible court case. But many consumers prefer a hassle free and easy process in the hands of an expert solicitor which will save you time, energy, stress and could save you thousands of pounds.
What must you do now?
It's a simple, straight-forward process. The first thing you must do is to decide which loans, credit cards, store cards, car finance agreements you wish to make a claim for;
Check when you signed the credit agreement. It must be before April 2007.
Check the balance on your credit agreement. Some companies will handle claims for credit agreement having a remaining balance of £1000. Some won't go for balances under £5000. It varies from company to company. If you have cards with varying balances it is best to find a claims management company that can handle them all for you.
You will need to know the name of the lender, the account number, balance remaining and the year the credit agreement was signed.
The Claims Management Company will send documents for you to sign, a section 77/78 request which allows them to request your file from your lender. You will need to provide a cheque or postal order made payable to your lender so they will release your information.
Once the claims manager has all the information from your lender they can start the audit. An audit is a detailed examination of the credit agreement to see if it follows the prescribed terms of the 1974 Consumer Credit Act. This audit will tell you and your solicitor what the breaches are.
The solicitor will then write to your lender stating the grounds for a dispute. You will have to carry on making repayments until your claim is resolved if you want to keep a good credit rating. Although lenders are asked not to make an adverse entry on your file while the case is in dispute, it cannot be guaranteed that they will not.
During the process you may well be approached by your lender to accept 'significant' reductions in the balance of your card. You must not accept this but contact your solicitor who will advise you.
Challenging the enforceability of a credit agreement is not the same as debt management, an IVA or bankruptcy.
Your loan or credit card agreements are checked by solicitors to see if they comply with the 1974 Consumer Credit Act. There are many reasons why they might not comply and therefore qualify as unenforceable credit agreements, enabling your credit cards and loans to be completely written off. Visit the following site and take the 60 second test and find out if you qualify.
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