If you are still in the same situation nine months later, your credit card company must do one of two things: the performance account to which the overdraft agreement on the approved account is bound is offered on terms that must be accompanied by an authorized overdraft contract for non-commercial relationships or an authorized overdraft contract for non-commercial transactions with a certain credit limit; or the borrower has requested the termination of an authorized commercial overdraft contract, but there are amounts pending under this agreement. If you don`t contact them, if you can`t afford to pay off your credit card debts faster or refuse a repayment plan, you may want your credit card suspended. If you only pay the minimum each month, it will take a total of 18 years and 10 months to pay for your credit card – and you have repaid a total of $12,277.84. You must assess the creditworthiness of a potential borrower before making loans or significantly increasing the loans already granted. This should be based on sufficient information, possibly obtained from the borrower and, if necessary, from a credit reference agency. When a company suspends the use of the credit or retail card facility5 by the customer referred to in paragraph 1 and the customer then responds to the entity`s request in accordance with CONC 6.7.31R (3), the entity may withdraw the suspension if this is in accordance with the other provisions of this section. A business cannot refinance a customer`s existing credit with the business (unless lenient), unless a lender`s rights are transferred to a company under a regulated credit contract, the company must send the notification of the transfer of the customer: 7This general rule applies to a business with respect to communication with a customer : , and receiving payments or exercising rights under a regulated credit contract for a credit card or a revolving retail credit5, when the entity assesses that the amount the customer paid to the entity for the credit card balance or the revolving retail balance5 during the 18-5 month period preceding includes in principle a lower amount than interest , fees and fees. They must ensure that the proposed credit contract is properly explained to the borrower. This should cover: The new rules do not mean that credit card companies must require you to repay more by automatically increasing their monthly credit card repayment. Pre-contract information must be provided in a timely manner prior to the conclusion of the borrower`s contract.
This must be easy to understand and contain important financial information, including: when a customer is at risk of financial difficulties, a company must not raise the interest rate under the agreement under a revolving credit contract for individuals or a 5-term regulated credit contract for a credit card 5 , unless a promotional interest rate ends. When a company has the right to raise the interest rate under a regulated credit contract, it can only raise the interest rate if there is a good reason to do so. If you don`t, you may quickly face higher fees due to interest or fees. Missed payments could affect your creditworthiness and make it more difficult to get credit in the future. If the credit is intended to finance the purchase of goods or services, the consumer has the right to redeem himself from you or the supplier, or both for misrepresentation or failure. See customer protection. As with pre-contract information, there are rules on what should be in the credit contract document signed by the borrower.