Invalid credit agreement? - please help!

Jenna2810

We purchased a bathroom a few years ago and signed up to spread the cost with finance via a 3rd party. There were changes made to the bathroom design and fit along the way, and a new credit agreement was never drawn up or signed. It has never been set up with the finance company. The design consultant that we used has now left the company. My husband visited the branch of the bathroom company to try and resolve this, and he was told they didn’t have any paperwork to hand, so he left. We have never heard anything back, and we are now getting letters from them, 3 years later. Is this enforceable or not? we have also had several phone-calls a couple of years ago from members of staff who have asked if we have paid or not?! Due to job losses and other life events we don’t have a lot of money spare now - so I don’t really want to sign up to this if I can at all help it? Thankyou in advance for any advice at all :-) x

[Deleted User]

Jenna2810 said:

We purchased a bathroom a few years ago and signed up to spread the cost with finance via a 3rd party. There were changes made to the bathroom design and fit along the way, and a new credit agreement was never drawn up or signed. It has never been set up with the finance company. The design consultant that we used has now left the company. My husband visited the branch of the bathroom company to try and resolve this, and he was told they didn’t have any paperwork to hand, so he left. We have never heard anything back, and we are now getting letters from them, 3 years later. Is this enforceable or not? we have also had several phone-calls a couple of years ago from members of staff who have asked if we have paid or not?! Due to job losses and other life events we don’t have a lot of money spare now - so I don’t really want to sign up to this if I can at all help it? Thankyou in advance for any advice at all :-) x

Why would a new credit agreement have to be drawn up because the design changed a bit? If you borrowed the money then the creditor has 6 years to chase you for the money before the debt becomes statute barred. 

Jenna2810

I believe it was because one of the items had to be substituted as it was out of stock, so in order for it to add up they had to draw up another agreement? This was all news to us, I just need to understand if I don’t reply can they take action…. I suffer with anxiety so it’s left me quite worried x

sourcrates

Was your agreement covered by the consumer credit act ?

How much was the agreement for ?

Jenna2810

Where would I find out if it was covered by the CCA? Would it be on any existing paperwork? It was for approx £7k. Thanks for your reply :-)

p3ncilsharpener

If the credit agreement is invalid, then they're just going to come after you for the cost of the bathroom.

sourcrates

Jenna2810 said:

Where would I find out if it was covered by the CCA? Would it be on any existing paperwork? It was for approx £7k. Thanks for your reply :-)

Most agreements under 25k are covered by the act, so what exactly is your concern here ?

Did you end up paying more for the loan that was stated on the credit agreement, is that what happened ?

p3ncilsharpener

sourcrates said:

Jenna2810 said:

Where would I find out if it was covered by the CCA? Would it be on any existing paperwork? It was for approx £7k. Thanks for your reply :-)

Most agreements under 25k are covered by the act, so what exactly is your concern here ?

Did you end up paying more for the loan that was stated on the credit agreement, is that what happened ?

I think you're a bit confused here (or maybe I am,.)

The original agreement needed to be changed, but a new agreement was never sent out and the original agreement appears to have been scrapped.

The bathroom has not been paid for as no finance was ever obtained for it, hence the bathroom company coming after the OP for it.

sourcrates

p3ncilsharpener said:

sourcrates said:

Jenna2810 said:

Where would I find out if it was covered by the CCA? Would it be on any existing paperwork? It was for approx £7k. Thanks for your reply :-)

Most agreements under 25k are covered by the act, so what exactly is your concern here ?

Did you end up paying more for the loan that was stated on the credit agreement, is that what happened ?

I think you're a bit confused here (or maybe I am,.)

The original agreement needed to be changed, but a new agreement was never sent out and the original agreement appears to have been scrapped.

The bathroom has not been paid for as no finance was ever obtained for it, hence the bathroom company coming after the OP for it.

No you are correct, after re-reading it, it appears it was not paid at all.

So the loan agreement is irrelevant, as no money has changed hands under it, whether it is enforceable or not doesn't matter.

The supplier of the goods now wants their money, and they are entirely within their rights to chase the OP for it, they have 6 years in which to do so, or to issue legal proceedings, so that is the current situation.

How you proceed from here on in, is entirely up to you.

ratrace

Op, you need to pay for the bathroom that you had use of for the past 3 years, i undersand you dont have all the cash but you may have to set up some sort of payment plan, they have everyright to ask for payment as they have supplied you with the goods. yes they should have been more more through in regards to chasing you for payment when the bathroom was finshed.

but the ones was also on you to make sure that things you bought was paid for in some way. this is why i just tell people to save up for what they want its avoiding all the hassle down the line.

Jenna2810

Thankyou all for your comments, much appreciated :-) x