Unsigned credit agreement

tru

I have a friend's credit agreement (been looking over it for her). It's a loan from GUS Finance Ltd for £10,000 at 18.8% APR, total repayable £17809.00. It has 'customer copy' printed over the bit where you sign. It hasn't been signed by her or her husband, just by the person who arranged the loan.

In the T&C's, it says 'This agreement shall not become binding until signed by both us and you and shall be deemed to be made on the date on which it is signed by either us or you whichever is the later'. To me, that means it's not legally binding

It was passed to a DCA, though I'm not sure when, it was at least 2 years ago. What happens if they refuse to pay? And is the dispute with the DCA or GUS Finance Ltd?

Emmzi

troo,

is that the copy from the loan company? If they have asigned 'npn customer' copy it can still be applied/ enforced.

Your friend needs to ask the DCA for a copy and proof it has been sold on (if not, ask for copy from GUS)

tru

Yes, the copy is from the loan company.

It doesn't say 'npn customer' anywhere on it. I don't even know what that means

The loan was taken out over the phone, they never met up with anyone. Is that anything to do with npn?

Emmzi

sorry..npn a typo for 'non'.. i.e. they may have a signed copy in their head office files.

otoh if she *did* take the money (and spend it) that's kind of admitting they've entered into an agreement... so I'd check this one with a lawyer at CAB.

file_wizzard

Upshot is if the CCA agreement has been improperly executed (i.e not signed and dated by both party’s) then the debt will be unenforceable via the CCA, however by accepting the loan, and then also making payments towards it she has by default entered into a simple form of contract, and this would be enforceable via the courts under contract law regardless of signature or otherwise.

With regards to who she should correspond with it depends if the collection activity has been passed to the DCA, or if the debt itself has been legally assigned, if it is the latter then the debtor should of received a notice of assignment form the original creditor or the assignee to notify him / her of the assignment.

Hope this helps

tru

Thanks both :T

Well, they've decided that even if they could get out of it, morally it would be wrong so they're still paying. I'm quite proud of them actually

sorry..npn a typo for 'non'..

Oh :rotfl:

I feel really stupid now