The Consumer Credit (Content of Quotations) and Consumer Credit (Advertisements) (Amendment) Regulations 1999

Quotations provided by credit-brokers

6.—(1) This regulation applies where—

(a) a credit-broker provides a quotation to an individual (“the prospective customer”); and

(b) the quotation is provided in connection with, and relates to, a prospective agreement between the prospective customer and a person to whom the credit-broker effects introductions.

(2) Where the prospective agreement is a personal credit agreement which would or might be secured on the prospective customer’s home, the credit-broker shall include in the quotation or cause to be included—

(a) a statement that such security would or might be required; and

(b) the following statement in the specified form—

“Your home is at risk if you do not keep up repayments on a mortgage or other loan secured on it.”.

(3) Where the prospective agreement is a personal credit agreement which would be secured on land and under which repayments of credit would be made in a currency other than sterling, the credit-broker shall include in the quotation the following statement in the specified form, or cause it to be included—

“The sterling equivalent of your liability under a foreign currency mortgage may be increased by exchange rate movements.”.

(4) Where the prospective agreement is an agreement for the bailment of goods which would or might be secured on the prospective customer’s home, the credit-broker shall include in the quotation or cause to be included—

(a) a statement that such security would or might be required; and

(b) the following statement in the specified form—

“Your home is at risk if you do not keep up payments on a hire agreement secured by a mortgage or other security on your home.”.