Automatic termination of credit agreementU.K.
23.—(1) This regulation applies if a consumer withdraws from a regulated contract by giving written notice of withdrawal to the trader under regulation 20.
(2) Any related credit agreement is automatically terminated at no cost to the consumer.
(3) If the trader is not also the creditor under the related credit agreement, the trader must, on receipt of the notice of withdrawal, without delay inform the creditor that the notice has been received.
(4) A credit agreement is related to a regulated contract if it is an agreement under which credit which fully or partly covers any payment under the regulated contract is granted to the consumer by—
(a)the trader, or
(b)a third party on the basis of an arrangement between the third party and the trader.