Consumer Credit Act 1974

[F1[F274BInformation to be provided on significant overdrawing without prior arrangementE+W+S+N.I.


(a)the holder of a current account overdraws on the account without a pre-arranged overdraft, or exceeds a pre-arranged overdraft limit, for a period exceeding one month,

(b)the amount of that overdraft or excess is significant throughout that period,

(c)that overdraft or excess is a regulated consumer credit agreement, and

(d)the account-holder has not been informed in writing of the matters mentioned in subsection (2) within that period,

the account-holder must be informed in writing of those matters without delay.

(2) The matters referred to in subsection (1) are—

(a)the fact that the current account is overdrawn or the overdraft limit has been exceeded,

(b)the amount of that overdraft or excess,

(c)the rate of interest charged on it, and

(d)any other charges payable by the debtor in relation to it (including any penalties and any interest on those charges).

(3) For the purposes of subsection (1)(b) the amount of the overdraft or excess is to be treated as significant if—

(a)the account-holder is liable to pay a charge for which he would not otherwise be liable,

(b)the overdraft or excess is likely to have an adverse effect on the debtor's ability to receive further credit (including any effect on the information about the debtor held by a credit reference agency), or

(c)it otherwise appears significant, having regard to all the circumstances.

(4) Where the overdraft or excess is secured on land, subsection (1)(a) is to be read as if the reference to one month were a reference to three months.]]

Annotations: Help about Annotation

Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)