Advice on Challenging a Consumer Credit Agreement?

plowter

Does anyone have any advice on challenging a Consumer Credit Agreement?

I have a client who signed up for a correspondence course, funded by a bank loan. The 'training advisor' acts as an agent for the bank and the loan is arranged by the agent when signing up the learner. The college gets paid staright away, the student repays the loan to the bank.

What documentation should the client have been given? All she has is a pre-printed carbon copy of the credit agreement (with Barclays Bank). The handwritten entries, including amounts and signatures, are too faint to read.

What are the obligations of the agent/lender to carry out an affordability check? My client is on disability benefits and has agreed to a loan of £70 per month for 26 months. I can't believe any bank would accept her for a loan with repayment of a fifth of her income.

What are the lender's obligations to ensure that someone understands the agreement? My client has a severe sight impairment and could not possibly read and understand normal print, let alone the small print on a credit agreement.

I think she has been taken advantage of. However, has the agent actually acted wrongly?

_Andy_

Unsure on the rest of it however surely if the affordability is the issue, regardless of sight issues, she still must have been aware it was £70 a month?