Loan disputes can involve either personal loans or company loans – and disputes can arise over repayment or rates of interest charged on the loan, or disputes involving the due date when the loan is repaid.
In recent years, some homeowners who took out endowment mortgages found themselves owing thousands of pounds when they thought they had repaid the loan.
In other cases, a loan may be repaid before the due date – only for the borrower to find they have been charged a penalty for early repayment, which they did not anticipate.
Loan disputes frequently occur when a borrower falls into arrears – or thinks they are up-to-date with repayments, only to be advised they have fallen behind in the repayment schedule.
Duncan Lewis financial litigation solicitors have a wealth of experience in advising on disputes involving personal and business loans – and can review loan agreements to advise on whether an agreement is enforceable.
Under the Consumer Credit Act 1974, all personal loan agreements have to be set out in writing and signed by the lender and the borrower – and a borrower must understand what they are signing.
The Consumer Credit Act (CCA) also sets out procedures for taking legal action against a borrower who is an individual or partnership in arrears, as well as legal action by the lender involving repossessing goods which are the subject of the agreement.
All legal action taking by a lender has to comply with the terms of the CCA – and in loan disputes where this is not the case, the agreement may not be enforceable and a borrower may even be entitled to financial redress.
In some cases, loan repayments may involve commissions which were not made clear to the borrower – or insurance policies (PPI) which have been mis-sold.
Duncan Lewis has a successful track record in county court actions involving unenforceable credit agreements – and can take swift action to protect assets such as business consumables or fleet vehicles subject to a loan agreement, or other assets such as property or a home.
In cases where a debt is less than £10,000, it may also be possible to get the debt wiped out if the credit agreement is unenforceable.
The main types of loan Duncan Lewis financial litigation solicitors can advise on include:
Handling a loan dispute with a lender can be stressful and complicated – and can put homes and crucial business assets at risk.
Duncan Lewis financial litigation experts can advise at any stage of a dispute – including offering lawyers supported dispute resolution if appropriate, as well as advising on whether to take a case to the Financial Ombudsman Service (FOS), or acting swiftly to defend a bankruptcy petition from a lender.
For expert legal advice on Loan Disputes, call Duncan Lewis Financial Litigation Solicitors on 0333 772 0409.