- Latest available (Revised)
- Original (As made)
This is the original version (as it was originally made). UK Statutory Instruments are not carried in their revised form on this site.
22. After section 74A (information to be provided on a current account agreement), as inserted by regulation 19, insert—
(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, and
(c)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.”.
Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.
Original (As Enacted or Made):The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.
Explanatory Memorandum sets out a brief statement of the purpose of a Statutory Instrument and provides information about its policy objective and policy implications. They aim to make the Statutory Instrument accessible to readers who are not legally qualified accompany any Statutory Instrument or Draft Statutory Instrument laid before Parliament from June 2004 onwards.
Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:
Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:
Click 'View More' or select 'More Resources' tab for additional information including: