Consumer Credit Act

Many people believe in rumors that talk about the loopholes in the Consumer credit Act of 1974. Lots of consumers have tried but failed to crack this act which has been amended several times for just the same reason.

One of the recent examples is a couple who ran up their debts to a whooping £120,000 and soon realized they couldn’t pay the monthly payments after their business collapsed. After a lot of brainstorming the couple thought that they had found a loophole in the system and could exploit it to pay off their entire debt amount.

They even got one of their banks to write off their debts, but as they tried this technique on other institutions they got noticed. Their case was immensely complex due to the techniques they had used by the High Court judge had the last laugh and told the couple to stop wriggling out of their debt and take care of it in a responsible manner.

The act is there to protect consumers from lenders who try to exploit them, but it is not for consumers who try to have their fun and try to rip these financial institutions apart. So, use it to your benefit but in an ethical manner.

1. 

   jeux  says:

   December 1, 2009 at 4:39 am

   The Consumer Credit Act 2006 establishes a fairer, clearer and more competitive market for consumer credit, updating consumer credit legislation that had been in place since the 1970s, and making it more relevant to today’s consumers.