|
| | |
| |
| | |
| |
| | |
| | |
| | Consumer Credit Bill, As Amended
|
|
| | |
| | | Disapplication of section 101 of the 1974 Act |
|
| | |
| | | |
| | To move the following Clause:— |
|
| | | ‘(1) | In section 101 of the 1974 Act (right of hirer to terminate regulated consumer hire |
|
| | | agreement) after subsection (8) insert— |
|
| | | “(8A) | If it appears to the OFT that it would be in the interests of hirers to do so, |
|
| | | it may by general notice direct that, subject to such conditions (if any) as |
|
| | | it may specify, this section shall not apply to a consumer hire agreement |
|
| | | if the agreement falls within a specified description; and this Act shall |
|
| | | have effect accordingly.” |
|
| | | (2) | In subsection (8) of that section for the words from “this section” onwards |
|
| | | substitute “, subject to such conditions (if any) as it may specify, this section shall |
|
| | | not apply to consumer hire agreements made by the applicant; and this Act shall |
|
| | | have effect accordingly”.’. |
|
| | |
| | | Maximum levels of interest and other charges |
|
| | |
| | |
| | | |
| | To move the following Clause:— |
|
| | | ‘(1) | The Office of Fair Trading shall publish, at least annually, the range of interest |
|
| | | rates and ancillary charges currently on the market for specified products. |
|
| | | (2) | The Office of Fair Trading shall, within 14 days of publishing the information |
|
| | | provided for under subsection (1)— |
|
| | | (a) | publish court rulings and details of cases brought before the ombudsman |
|
| | | concerning levels of interest rates and ancillary charges for agreements |
|
| | | deemed unfair under section 19, and |
|
|
| |
| | |
| | |
| |
| | | (b) | present to the Secretary of State a report on the conclusions it has come |
|
| | | to and the recommendations it has decided to make as a result of its |
|
| | | consideration of these findings. |
|
| | | (3) | Where, on receipt of the report from the Office of Fair Trading, the Secretary of |
|
| | | State considers that the cost of credit for any particular product, or within any |
|
| | | sector of the consumer credit market, taken together with any charges made for |
|
| | | ancillary services usually sold together with regulated agreements, are causing |
|
| | | widespread consumer detriment, he may by order introduce regulations requiring |
|
| | | the Office of Fair Trading to set out maximum permitted levels of interest and |
|
| | | other charges for particular products or in particular sectors of the consumer |
|
| | | |
| | | (4) | Regulations as provided for under subsection (3) may not be laid unless the |
|
| | | Secretary of State has first published a notice of intention to do so, and not less |
|
| | | than 52 weeks have elapsed since the publication of such notice. |
|
| | | (5) | During the period of the notice, the Office of Fair Trading shall— |
|
| | | (a) | consult with industry and consumer bodies concerning the possible |
|
| | | effects of the introduction of a maximum permitted level of interest, and |
|
| | | (b) | make a report to the Secretary of State concerning the consultation |
|
| | | responses and the conclusions it has come to and the recommendations it |
|
| | | has decided to make concerning the issues raised by the responses. |
|
| | | (6) | Where a creditor charges a rate of interest or makes a charge that is in excess of |
|
| | | any permitted maximum imposed under subsection (3), then the agreement will |
|
| | | be unlawful and unenforceable against the debtor and the creditor shall be liable |
|
| | | |
| | | (7) | Regulations introduced under subsection (3) may provide for maximum levels of |
|
| | | interest and other charges to be— |
|
| | | (a) | reviewed at such times as the Secretary of State thinks fit, and |
|
| | | (b) | revised in line with changes to the Bank of England Base Lending Rate |
|
| | | or as considered appropriate and recommended by the Office of Fair |
|
| | | Trading following the consultation provided for in subsection (5).’. |
|
| | |
| | | Data Protection Act 1998 (c. 29) |
|
| | |
| | |
| | |
| | |
| | | |
| | To move the following Clause:— |
|
| | | ‘In Schedule 2 to the Data Protection Act 1998 (conditions relevant for purposes |
|
| | | of the first principle: processing of any personal data), in paragraph (1), at the end |
|
| | | |
| | | | “Implicit in this consent will be access to all or any relevant historic |
|
| | | data records held by the data processor.”.’. |
|
| | |
|
| |
| | |
| | |
| |
| | | Standard method for the calculation of interest accrued |
|
| | |
| | |
| | |
| | | |
| | To move the following Clause:— |
|
| | | ‘(1) | The Office of Fair Trading shall consult financial agencies and produce a |
|
| | | standard method for the calculation of interest accrued to enable direct |
|
| | | comparison between products.’. |
|
| | |
| | | Further duties of the Office of Fair Trading |
|
| | |
| | |
| | |
| | | |
| | To move the following Clause:— |
|
| | | ‘(1) | The Office of Fair Trading (OFT) shall periodically, and at least annually, publish |
|
| | | the range of interest rates and ancillary charges on the market for specified |
|
| | | |
| | | (2) | The OFT shall publish court rulings and details of cases brought before the |
|
| | | ombudsman on levels of interest rates and ancillary charges for agreements |
|
| | | deemed unfair under section 19 and report on these findings to the Secretary of |
|
| | | |
| | |
| | |
| | | |
| | Page 5, line 31 [Clause 6], leave out ‘on the day’ and insert ‘immediately’. |
|
| | |
| | | |
| | Page 5, line 34 [Clause 6], leave out first ‘on’ and insert ‘at the end of’. |
|
| | |
| | |
| | | |
| | Page 9, line 29 [Clause 11], leave out ‘on the day’ and insert ‘immediately’. |
|
|
| |
| | |
| | |
| |
| | |
| | | |
| | Page 9, line 31 [Clause 11], leave out ‘on’ and insert ‘at the end of’. |
|
| | |
| | |
| | | |
| | Page 11, line 27 [Clause 16], at end insert— |
|
| | | ‘( ) | In section 32(1) of the Sheriff Courts (Scotland) Act 1971 (c. 58) (regulation of |
|
| | | civil procedure in sheriff court) after paragraph (l) insert— |
|
| | | “(m) | permitting the debtor or hirer in proceedings for— |
|
| | | (i) | a time order under section 129 of the Consumer Credit |
|
| | | Act 1974 (time orders), or |
|
| | | (ii) | variation or revocation, under section 130(6) of that Act |
|
| | | (variation and revocation of time orders), of a time order |
|
| | | |
| | | | to be represented by a person who is neither an advocate nor a |
|
| | | |
| | | ( ) | In section 32(2B) of the Solicitors (Scotland) Act 1980 (c. 46) (offence for |
|
| | | unqualified persons to prepare certain documents)— |
|
| | | (a) | after “represent” insert “—(a)”; |
|
| | | (b) | after “cause” insert— |
|
| | | “(b) | a debtor or hirer in proceedings for— |
|
| | | (i) | a time order under section 129 of the Consumer Credit |
|
| | | Act 1974 (time orders); or |
|
| | | (ii) | variation or revocation, under section 130(6) of that Act |
|
| | | (variation and revocation of time orders), of a time order |
|
| | | made under section 129”.’. |
|
| | |
| | |
| | | |
| | Page 12, line 11 [Clause 17], leave out ‘on the day’ and insert ‘immediately’. |
|
| | |
| | | |
| | Page 12, line 12 [Clause 17], leave out first ‘on’ and insert ‘at the end of’. |
|
| | |
| | |
| | |
| | |
| | | |
| | Page 13, line 19 [Clause 19], at end insert— |
|
| | | ‘(2A) | For the purposes of this section, an agreement shall be automatically unfair if the |
|
| | | |
|
| |
| | |
| | |
| |
| | | (a) | at the time of making the agreement the debtor could not reasonably have |
|
| | | been expected to maintain the level of payments required under the |
|
| | | |
| | | (b) | the lender made inadequate attempts to determine the financial |
|
| | | circumstances of the borrower at the time of entering into an agreement.’. |
|
| | |
| | | |
| | Page 13, line 25 [Clause 19], leave out ‘one or more’ and insert ‘all or any of the’. |
|
| | |
| | |
| | | |
| | Page 18, line 33 [Clause 26], leave out ‘business’ and insert ‘consumer credit |
|
| | business or a consumer hire business (as the case may be)’. |
|
| | |
| | | |
| | Page 18, line 41 [Clause 26], leave out ‘business’ and insert ‘consumer credit |
|
| | business or a consumer hire business (as the case may be)’. |
|
| | |
| | |
| | | |
| | Page 19, line 4 [Clause 26], leave out ‘business’ and insert ‘consumer credit |
|
| | business or a consumer hire business (as the case may be)’. |
|
| | |
| | | |
| | Page 19, line 21 [Clause 26], at end insert— |
|
| | | ‘(8) | This section (apart from subsection (1)) does not apply to a regulated agreement |
|
| | | made by a person if by virtue of section 21(2) or (3) he was not required to be |
|
| | | licensed to make the agreement. |
|
| | | (9) | Subsection (1) does not apply to the enforcement of a regulated agreement by a |
|
| | | person if by virtue of section 21(2) or (3) he is not required to be licensed to |
|
| | | |
| | |
| | | |
| | Page 19, line 22 [Clause 26], leave out subsection (5). |
|
| | |
| | |
| | | |
| | Page 25, line 20 [Clause 32], leave out subsections (8) and (9) and insert— |
|
|
| |
| | |
| | |
| |
| | | ‘(8) | The procedures set out in subsections (6) and (7) shall be carried out concurrently |
|
| | | with the OFT’s consideration of whether it should take the step falling within |
|
| | | |
| | | (9) | Accordingly, the OFT’s determination of any application of the licensee shall be |
|
| | | made at the same time as its determination to take the step falling within |
|
| | | |
| | | (10) | If an appeal lies from the determination of that application, the step falling within |
|
| | | subsection (2) shall not be taken before the end of the appeal period in relation to |
|
| | | that application and, in the case of a step falling within subsection (2)(a) or (b), |
|
| | | section 29(4) shall apply accordingly.’. |
|
| | |
| | |
| | | |
| | Page 26, line 10 [Clause 33], leave out subsections (1) to (5) and insert— |
|
| | | |
| | | (a) | a consumer credit EEA firm makes an application for a standard licence, |
|
| | | |
| | | (b) | the activities covered by the application are all permitted activities, |
|
| | | | the OFT shall refuse the application. |
|
| | | (2) | Subsection (3) applies where— |
|
| | | (a) | a consumer credit EEA firm makes an application for a standard licence, |
|
| | | |
| | | (b) | some (but not all) of the activities covered by the application are |
|
| | | |
| | | (3) | In order to be entitled to be issued with a standard licence in accordance with |
|
| | | section 25(1) to (1AB) in relation to a type of business, the firm need not satisfy |
|
| | | the OFT that it is a fit person to carry on that type of business so far as it would |
|
| | | involve any of the permitted activities covered by the application. |
|
| | | (4) | A standard licence held by a consumer credit EEA firm does not at any time |
|
| | | authorise the carrying on of an activity which is a permitted activity at that time.’. |
|
| | |
| | |
| | | |
| | Page 29, line 15 [Clause 35], leave out from ‘on’ to end of line 16 and insert ‘such |
|
| | day as may be determined in accordance with provision made by regulations.’. |
|
| | |
| | | |
| | Page 29, line 34 [Clause 36], leave out from ‘made’ to end of line 35 and insert |
|
| | ‘before such day as may be determined in accordance with provision made by the OFT by |
|
| | |
| | |
|
| |
| | |
| | |
| |
| | |
| | | |
| | Page 30, line 6 [Clause 36], leave out subsection (5). |
|
| | |
| | |
| | | |
| | Page 44 [Clause 52], leave out lines 12 to 17 and insert ‘rate for the time being |
|
| | specified in section 17 of the Judgments Act 1838.’. |
|
| | |
| | |
| | | |
| | Page 57, line 45 [Schedule 1], at end insert— |
|
| | | |
| | | (a) | the Tribunal disposes of an appeal against a determination to take |
|
| | | a step falling within section 34A(2) of this Act, and |
|
| | | (b) | at the time it made that determination, the OFT also determined |
|
| | | an application under section 34A(6) in relation to that step, |
|
| | | | the Tribunal may do one or more of the things mentioned in sub- |
|
| | | paragraph (2)(a) to (e) in relation to the determination of the application. |
|
| | | |
| | | (a) | may exercise its power under sub-paragraph (4A) even if no |
|
| | | appeal has been made against the determination of the |
|
| | | application under section 34A(6); and |
|
| | | (b) | in a case where such an appeal has been made, may exercise that |
|
| | | power instead of disposing of the appeal.’.
|
|
| | | |
| | | |
| | |
| | |
| | |
| | |
| | |
| | |
| | | |
| | Page 63, line 2 [Schedule 3], leave out paragraphs 14 and 15 and insert— |
|
| | | ‘14 | The court shall not make an order under section 140B of the 1974 Act in |
|
| | | connection with a credit agreement made before the commencement of section 20 |
|
| | | |
| | | 15 | The repeal by this Act of sections 137 to 140 of the 1974 Act shall not affect the |
|
| | | court’s power to reopen an existing agreement under those sections.’. |
|
| | | Bill read the third time, and passed. |
|
|
