How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask JGM Your Own Question
JGM, Solicitor
Category: Scots Law
Satisfied Customers: 12195
Experience:  30 years as a practising solicitor.
Type Your Scots Law Question Here...
JGM is online now

When is a loan made to an individual not governed by the C

This answer was rated:

When is a loan made to an individual not governed by the CCA?
Thank you for your question.
The following kinds of agreement are not covered by the Consumer Credit Act:
agreements to hire gas, electricity or water meters
agreements where you have to pay off what you owe in full each time, for example, charge cards or milk bills
credit union loans
loans from an employer
some short term trade agreements.
A Green Deal Plan which provides credit of:
up to £25,000 which is wholly for business purposes or
over £25,000 which is predominantly for business purposes.
Your rights for these agreements will only depend on what is written in the contract, not on what is in the Consumer Credit Act.
I hope this helps. Please leave a positive response so that I am credited for my time.
Certain other types of loan do not fall within the ambit of the Consumer Credit Act 1974. They are called Exempt Agreements. The details are as follows.
The purpose of the Consumer Credit Act 1974 is to regulate consumer rather than commercial transactions. In general, an agreement will only be regulated if the debtor is an individual (which will include partnerships but not limited companies) and the credit does not exceed £25,000.
JGM and other Scots Law Specialists are ready to help you