When an agreement to which paragraph 1 or 2 applies, or when a right of payment is transferred under such an agreement, the liability of the person to whom it was assigned is limited to the amount paid by the consumer to that person. The cost of borrowing under a credit contract, where the borrower does not receive a statement required by that party; or if you buy a new car on a rental credit contract, the financial company will pay the garage for it. They pay the money in increments to the financial company, with interest. Where an amendment to a credit contract is only the result of a change in the borrower`s payment schedule, it is not necessary for the supplementary disclosure to indicate a change in the annual percentage or a reduction in the total amount of payments required by the borrower or the total cost of borrowing under the agreement. In the disclosure statement, you must outline your rights to terminate the contract, which happens if you cannot make payments and if you pay a prepayment fee. If a facility is not available on the date set out in the agreement, the agent will reimburse all payments received from the consumer, unless the consumer agrees in writing to authorize the agent to retain the payment. C – D Credit contract means a loan agreement, mortgage document or other debt repayment agreement over time. Credit charges mean additional fees set out in your credit contract, e.g.B, establishment fees, monthly administration fees. Examples of common costsCrement is the person or company to whom you owe money. In the case of credit contracts, it is usually your lender, for example. B bank or financial company. If a collection company buys your unpaid debts from a lender, it becomes your new creditor. Disclosure means exchanging information, usually between you and the lender.
Legally, lenders must disclose the most important information before signing anything. When the loan is completed, the lender must make an ongoing disclosure, which involves regular updates to your payment progress and your credit account. The minimum is equal to every six months or regularly for credit cards and other renewable arrangements. Disclosure statement is the document you sign when launching a loan or other credit contract. By law, it must contain important information, including funds, what you and your lender must do to terminate the credit guarantee and your right. Your rights: Information that needs to be given to youThe standard means being behind in payments and not getting back on track or breaking another rule of a credit contract. Someone who misses payments is sometimes called a defaulter. Late fees are charged if you are lagging behind on payments, including withdrawal alert fees and withdrawal guarantees. Late interest is penalties for overdue payments. It is calculated in addition to your usual interest rates, and this at a higher interest rate. F – P The full down payment means paying the full payment before the final due date. You`ll probably pay an administration fee – and extra fees if the advance repayment means the lender loses money because of lost interest.
This can be a large amount. Lenders can legally charge prepayment fees (or break fees), but this must be a reasonable estimate of their loss. The hardness or unplanned hardness nerato is a sudden life event that makes it difficult to afford regular refunds. For example, job losses, serious illness or injury, relationship breakdown. In this case, you can make an emergency request to change or defer refunds. You cannot ask for an interest rate change. Emergency request means asking your lender for help if a sudden life event affects your finances – see examples above. You can request refund leave and/or reduced payments over a longer period of time. The lender will probably ask for evidence. The deadlines apply