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Results: Have you enquired about your Northern Rock CCA loan

Yes, I have been awarded compensation

3.57% • 1 votes

Yes, I have been advised there is no valid complaint

3.57% • 1 votes

Yes, I am awaiting a response from Northern Rock/NRAM

57.14% • 16 votes

No

35.71% • 10 votes

You may not vote on this poll

28 votes in total.

Page 1
  • rmart
    • #2
    • 13th Dec 12, 9:38 AM
    • #2
    • 13th Dec 12, 9:38 AM
    Here is where I think NR have another big problem. My daughters took a together mortgage in 2006 the loan part was over 25k. The agreement said it was regulated by the 1974 CCA.

    At this point it probably was not a problem. However, now they have cocked up by not following the CCA guidelines from 2008 to 2012 they create a new problem.

    People like my daughters are going to say. Hey my agreement is covered by the 1974 CCA, it says so on the agreement you made me sign.

    If northern rock say, no it is not, that was a mistake, you loan is over 25k so is not protected, then surely my daughters can say they were given bad advice and mis sold a product, therefore making it invalid.

    There is more to unfold here imo.
    • lizards
    • By lizards 13th Dec 12, 9:50 AM
    • 219 Posts
    • 62 Thanks
    lizards
    • #3
    • 13th Dec 12, 9:50 AM
    • #3
    • 13th Dec 12, 9:50 AM
    Great idea! I'm in the same boat. We had a loan for 29.5K (asked for 25K initially but they upped the unsecured part to provide a greater part of the deposit - we had no choice) taken out May 2004. Paperwork all says "Regulated by the Consumer Credit Act 1974" and has our signatures on it.

    Remortgaged May 2008, which meant the loan needed remortgaging too, this time for 28K or so. Paperwork has the same statement at the top, although we don't seem to have a copy of anything with our signature on so I guess they must have that part.

    I've been doing a bit of research and come up with this thread here which is an interesting read - I posted it in the other thread but it's probably long buried by now:

    http://www.consumeractiongroup.co.uk/forum/showthread.php?178390-Credit-Agreements-over-25k-Pre-April-2008

    It's an old thread on another board, not related to this latest turn of events, but the issues raised i.e. the paperwork having this printed on it, are still very relevant. To summarise the thread, at the time nobody was sure what would happen if somebody challenged it.

    It'll be interesting to see how this goes, and if the 270 million quoted includes those with loans over 25K because if it doesn't and a challenge is successful, there will be a lot more upset.
  • rmart
    • #4
    • 13th Dec 12, 9:50 AM
    • #4
    • 13th Dec 12, 9:50 AM
    Just spoke to NR. They are saying that letters are going out tomorrow to those affected. As my daughters loan was for more than 25k she said she may not be entitled to the refund.

    However in my mind this has opened up a new claim which could be even better. In my opinion the fact that they presented an agreement to them which states it is protected by the 1974 CCA was a mis sell as this was untrue.

    Could this make the whole agreement invalid ? My daughters did not know they were being told something that was incorrect. In their mind they have an agreement which Northern Rock told them (in writing) was protected by the CCA..... interesting times ahead.
    Last edited by rmart; 13-12-2012 at 9:53 AM.
    • bigbadwolf500
    • By bigbadwolf500 13th Dec 12, 9:59 AM
    • 39 Posts
    • 9 Thanks
    bigbadwolf500
    • #5
    • 13th Dec 12, 9:59 AM
    • #5
    • 13th Dec 12, 9:59 AM
    (30K loan with together mortgage Jan 2007 )
    Have just been through all my mortgage and loan documents.
    On the Key facts about the mortgage says it is regulated by the CCA 1974
    The pre contract information also states this
    The actual loan agreement documents header line is - Fixed-sum loan agreement regulated by the Consumer Credit Act 1974

    Will just have to wait and see...............
  • rmart
    • #6
    • 13th Dec 12, 10:00 AM
    • #6
    • 13th Dec 12, 10:00 AM
    found this on the other thread....

    My conclusion is that if your agreement is for an unregulated amount, but is executed on regulated paperwork - then the agreement is probably unregulated.

    HOWEVER. - By executing the agreement on that paper it becomes "contractually" regulated by the act - and therefore all of the consumer protections that are afforded to regulated agreements become part of the contract.

    This is also the opinion of
    Goode LAP
    "Consumer sales law" (Author: Jon Keith Mcleod - he references a citation, but I have been able to find the case details - it may be unreported.)
    Trading Standards.

    It is the opinion of Trading Standards (but only a judge can really decide blah blah blah) - That should the company deny you any rights under the CCA 1974 and amendments - they would be in breach of contract, and you could pursue them for damages.
    • bigbadwolf500
    • By bigbadwolf500 13th Dec 12, 10:08 AM
    • 39 Posts
    • 9 Thanks
    bigbadwolf500
    • #7
    • 13th Dec 12, 10:08 AM
    • #7
    • 13th Dec 12, 10:08 AM
    found this on the other thread....

    My conclusion is that if your agreement is for an unregulated amount, but is executed on regulated paperwork - then the agreement is probably unregulated.

    HOWEVER. - By executing the agreement on that paper it becomes "contractually" regulated by the act - and therefore all of the consumer protections that are afforded to regulated agreements become part of the contract.

    This is also the opinion of
    Goode LAP
    "Consumer sales law" (Author: Jon Keith Mcleod - he references a citation, but I have been able to find the case details - it may be unreported.)
    Trading Standards.

    It is the opinion of Trading Standards (but only a judge can really decide blah blah blah) - That should the company deny you any rights under the CCA 1974 and amendments - they would be in breach of contract, and you could pursue them for damages.
    Originally posted by rmart

    So, if they deny us our rights under the CCA 1974 in not refunding our loan interest surely they will be in breach of contract
    Last edited by bigbadwolf500; 13-12-2012 at 10:11 AM.
  • rmart
    • #8
    • 13th Dec 12, 10:18 AM
    • #8
    • 13th Dec 12, 10:18 AM
    it seems to me that you have to look at it through the eyes of the borrower. i.e, my two daughters sat in front of a financial advisor and then a solicitor at the ages of 21 and 22 and were advised to sign documents that were presented as protected by the CCA. Now they beleive they have a claim under those rules the bank cannot say that the agreement is not protected because either

    a). the wrong paper work was used
    b.) the loan is over the cca limit

    It seems pretty simple to me.
    • lizards
    • By lizards 13th Dec 12, 10:20 AM
    • 219 Posts
    • 62 Thanks
    lizards
    • #9
    • 13th Dec 12, 10:20 AM
    • #9
    • 13th Dec 12, 10:20 AM
    That was what I was thinking too - that by *not* giving us protection under the CCA, we are losing out on this repayment. Because normally you have to prove that you've suffered some sort of material loss - well, a few grand in interest repayments sounds like a material loss to me. But I am no lawyer.

    Like most of us in this situation I have an axe to grind against the rock for reasons I won't bore anyone with here but suffice to say they've had waaaay too much of our money and their rates and rules have significantly impacted in a bad way on our lives in general. So I don't feel too bad about any potential payout.
  • rmart
    exactly lizards, before this problem the fact that they were given a protected agreement incorrectly was not an issue.

    Now it is an issue because they messed up, so all those with a loan over 25k on regulated paperwork have a material loss if they refuse to pay.

    My preference would be to let them dismiss us and then get a lawyer to look at mis selling. This imo could see a better outcome for us.
    • downhiller
    • By downhiller 13th Dec 12, 11:18 AM
    • 121 Posts
    • 79 Thanks
    downhiller
    30k unsecured loan here as part of a together mortgage. All the papers also say it's covered by the CCA 1974. Almost 8k (gulp) in interest on this loan in the last 5 years!
    • lizards
    • By lizards 13th Dec 12, 11:52 AM
    • 219 Posts
    • 62 Thanks
    lizards
    I wonder what our next step is? Presumably we wait and see if we get a letter when the others do? If we don't, or if the letter says we're not entitled to anything.. then what?

    Any legal sorts around?

    PS if I do get a letter I'll find out a while from now because as we've just moved, NRAM don't know our new address yet and the mail redirection is flaky at best. We still own the old property, hence not bothering to update them with our change of address, but I only visit once a week.
    Last edited by lizards; 13-12-2012 at 11:57 AM. Reason: explaining about letter
    • bigbadwolf500
    • By bigbadwolf500 13th Dec 12, 12:34 PM
    • 39 Posts
    • 9 Thanks
    bigbadwolf500
    On another note - What do you pay a solicitor for when taking out a mortgage / loan / buying a house? Surely it's to check the documentation is in order and correct...
    • Fizzy Fish
    • By Fizzy Fish 13th Dec 12, 1:21 PM
    • 43 Posts
    • 12 Thanks
    Fizzy Fish
    30k unsecured loan here as part of a together mortgage. All the papers also say it's covered by the CCA 1974. Almost 8k (gulp) in interest on this loan in the last 5 years!
    Originally posted by downhiller
    We're in the same situation, and that money sure as hell would come in handy in cutting down what we owe!

    Have done some reading up on the Consumer Action group forum about the CCA issue and it seems like a bit of a legal grey area that hasn't been ruled on yet.

    Given the potential money at stake (and the fact that I like a challenge!) I'd be willing to contribute something g to help take this further through one of the potential legal routes, depending on how things pan out over the next few weeks.
    Last edited by Fizzy Fish; 13-12-2012 at 1:30 PM.
  • rmart
    I have emailed NR as stated on their web site customerrelations@n-ram.co.uk

    This is my email :

    Dear Sirs,



    My loan was taken in 2006 for more than 25,000 and I was informed that my loan is covered by the 1974 CCA.



    This is also clearly stated on my loan documents.



    Please could you inform me of my position.

    Kind Regards
    .......................

    I would advise that all with a loan over 25k do the same
    • bigbadwolf500
    • By bigbadwolf500 13th Dec 12, 2:02 PM
    • 39 Posts
    • 9 Thanks
    bigbadwolf500
    I have emailed NR as stated on their web site customerrelations@n-ram.co.uk

    This is my email :

    Dear Sirs,



    My loan was taken in 2006 for more than 25,000 and I was informed that my loan is covered by the 1974 CCA.



    This is also clearly stated on my loan documents.



    Please could you inform me of my position.

    Kind Regards
    .......................

    I would advise that all with a loan over 25k do the same
    Originally posted by rmart
    Also sent an email - will update if I get a response
  • Ely cobbler
    I am also in a similar position where I took a loan of over 30k as part of mortgage package in 2005 with NR.from a brief bit of reading the 25k limit for a CCA regulated loan was removed in 2006 in the new Act and came into force in 2008.Certainly no expert but it does seem like we must have a fair case and NR have not fully thought this one through
  • claret_mike
    I am in a similar position 28k loan taken in 2007. It is CCA paperwork.

    I did speak to nram yesterday and I was informed that my account had a tick next to the CCA field..

    I read the website where they had the statement on and then I have been back today to see if i could find an email and something of interest is on there now which I did not spot...

    Please note - the CCA regulations only cover loans taken out for amounts of 25,000 or less.

    So can anyone tell me what the differences are between a regulated and unregulated loan. I did read the long thread on CAG but it was all a bit lost on this simpleton...
  • Chrisb80
    Hi everyone, I'm in the same position -27k loan in 2005 as part of together mortgage, signed by both NR and myself. Paperwork clearly states subject to CCA 1997. I have not contacted NRAM yet as wanted to wait to see if I got a letter first, but nothing so far. Not sure where we all stand to be honest. If they do not treat our loans the same as the <25k customers on the basis that our loans could never have been CCA protected and admit yet another mistake, what happens now?

    I certainly would not have entered into an agreement for an unregulated/unprotected loan, would you? And what happens moving forward as things may be ok now but what if you need to rely on the protection in the future? What a mess!!
    • NorthernRockNewbie
    • By NorthernRockNewbie 13th Dec 12, 8:40 PM
    • 30 Posts
    • 16 Thanks
    NorthernRockNewbie
    Hi All, So we're in the same boat 30k unsecured loan that states it is covered by CCA. We'd be happy to contribute 100 if there are enough of us willing to chip in to get a barrister to look at this?
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