Loan taken out under CCA 1974 where lender is now saying it is unregulated

[Nibbler]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

http://www.n-ram.co.uk/loans/loans-over-25000

Updated today 06/03/2015

The NRAM Board, after considering legal advice and the implications for both customers and taxpayers, has decided to pursue an appeal which will be heard by the Court of Appeal at the end of April 2015. We cannot be certain when we will know the outcome, but would expect it to be before the end of July 2015.
When then this process is complete and we have determined the appropriate course of action, if required, we will communicate with any affected customers to outline next steps and confirm any actions we are taking.

http://www.ukar.co.uk/media-centre/p...03-2015?page=1

06 Mar 2015

NRAM plc previously disclosed that it had commenced declaratory proceedings in the High Court to determine whether customers who took out unsecured loans above the Consumer Credit Act 1974 (CCA) regulated cap of £25,000 and that were written on CCA documentation are entitled to similar rights and remedies as those who took out loans that were regulated by the CCA.

Following the initial High Court judgment, the NRAM Board sought leave to appeal in order to obtain full legal clarity. Leave to appeal was granted and the NRAM Board, after considering legal advice and the implications for both customers and taxpayers, has decided to pursue an appeal. This will be heard by the Court of Appeal at the end of April 2015 with the outcome expected to be before the end of July 2015.
When the process is complete, and we have determined the appropriate course of action, we will provide a further update and confirm any actions we are taking.

Richard Banks, Chief Executive Officer of UKAR, commented:

“We sought leave to appeal as we have a duty to the taxpayer to safeguard public money and no financial detriment has been suffered by customers. Having carefully considered legal advice, we have decided to appeal the High Court’s decision. Customers do not need to act at this stage. If any redress becomes due, we will write to all those affected to advise on next steps.”

[theturningworm]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

Hi All
I've read through this thread with much interest as I am in this situation myself - but with added extras.

As per the thread, mine was executed in 2002 as a "CCA Regulated Agreement" but was for £42k.

I understand the court ruling and the appeal being made so we'll obviously have to wait for that to run its course but in my case, further advances (under the threshold) were made after the original loan was taken out and I'm trying to work out if/how they are affected by all this.

My original loan in July 2002 was £42k all on CCA 1974 paperwork. Then;
After 3 months of keeping my nose clean, I was afforded an "automatic further advance" of 5% of the property value equating to £8500. Then;
In August 2003 my credit limit was increased by £23k (unrestricted use cash advance) "on the same terms" as the original advance. Then:
In November 2004 my credit limit was again increased "on the same terms" this time by £19k

So my question is, if the original advance was unregulated as it exceeded the limit, then how does that leave the three other "further advances" each of which were entirely separate agreements under the £25k limit (made each time by an application for a further advance) but were advanced "on the same terms" as the original?

Any help/guidance would be much appreciated and welcomed

Cheers

[theturningworm]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

Anyone?

Please??

[Amethyst]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

Is your loan a 'together' mortgage with NRAM ? ( you may be better having your post moved to a new thread otherwise)

Have you requested all the documentation for the loans and subsequent advances ?

It would probably be worth putting in requests under the CCA, and submitting a full Subject Access Request to obtain everything about the loans while this appeal is ongoing.

What is the current status of the loans ? Are they paid up ?

[theturningworm]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

Thanks for the reply Amethyst

I realise that you would probably need chapter and verse to give a formal opinion but I hope you can understand why I'm cautious about giving out too much info on a public forum. I was hoping that my questions could be answered generically based on the info posted ie, if the original agreement is now apparently unregulated (although executed as regulated), how does that affect further amounts lent which were under the limit?

But in answer to your questions, this is not NRAM. Its a Bank of Scotland "flexible options" agreement with a cheque book facility to drawdown amounts up to the agreed limit when required and I already have all the paperwork from previous SAR requests

The bank know where I'm going with this but don't seem to want to talk about it

[Amethyst]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

[MENTION=551]pt2537[/MENTION] is probably the best person to answer that.

[theturningworm]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

Thanks Amethyst - that's what I thought :tinysmile_twink_t2:

[Amethyst]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

I'll ask him to have a look later on xx

[theturningworm]

Re: Loan taken out under CCA 1974 where lender is now saying it is unregulated

Perfect! - thanks