The Mortgage Credit Directive Order 2015

The Consumer Credit Act 1974

2.—(1) The Consumer Credit Act 1974(1) is amended as follows.

(2) In section 8 (consumer credit agreements) for subsection (3)(2) substitute—

“(3) A consumer credit agreement is a regulated credit agreement within the meaning of this Act if it—

(a) is a regulated credit agreement for the purposes of Chapter 14A of Part 2 of the Regulated Activities Order; and

(b) is not an agreement of the type described in Article 3(1)(b) of Directive 2014/17/EU of the European Parliament and of the Council of 4th February 2014 on credit agreements for consumers relating to residential immovable property.”.

(3) In section 55C(3) (copy of draft consumer credit agreement), in subsection (4)(c), after “£60,260” insert “and which is not a residential renovation agreement”.

(4) In section 60(4) (form and content of agreements), in subsection (5)(c), after “£60,260” insert “and which is not a residential renovation agreement”.

(5) In section 61A(5) (duty to supply copy of executed consumer credit agreement), after subsection (6) insert—

“(6A) An agreement is not an excluded agreement by virtue of subsection (6)(b)(ii) if it is a residential renovation agreement.”.

(6) In section 66A(6) (withdrawal from consumer credit agreement), in subsection (14)(a), after “£60,260” insert “, other than a residential renovation agreement”.

(7) In section 75A(7) (further provision for liability of creditor for breaches by supplier), in subsection (6)(b), after “£60,260” insert “and is not a residential renovation agreement”.

(8) In section 77B(8) (fixed-sum credit agreement: statement of account to be provided on request), in subsection (9)(c), after “£60,260” insert “and which is not a residential renovation agreement”.

(9) In section 189(9) (definitions), in subsection (1), after the definition of “representation” insert—

““residential renovation agreement” means a consumer credit agreement—

(a)

which is unsecured; and

(b)

the purpose of which is the renovation of residential property, as described in Article 2(2a) of Directive 2008/48/EC of the European Parliament and of the Council of 23rd April 2008 on credit agreements for consumers(10).”.

(1)

1974 c.39.

(2)

Subsection (3) was substituted by S.I. 2013/1881.

(3)

Section 55C was inserted by S.I. 2010/1010 and subsequently amended by S.I. 2013/1881.

(4)

Section 60 was amended by paragraph 6 of Schedule 25 to the Enterprise Act 2002 (c. 40) and by S.I. 2010/1010 and 2013/1881 and 1882.

(5)

Section 61A was inserted by S.I. 2010/1010 and subsequently amended by S.I. 2013/1881.

(6)

Section 66A was inserted by S.I. 2010/1010.

(7)

Section 75A was inserted by S.I. 2010/1010 and subsequently amended by S.I. 2013/1881.

(8)

Section 77B was inserted by S.I. 2010/1010 and subsequently amended by section 27 of the Energy Act 2011 (c. 16) and by S.I. 2013/1881 and 2014/436.

(9)

There are amendments to section 189 but none is relevant to this Order.

(10)

OJ L 133, 22.5.2008, p. 66; Article 2(2a) was inserted by article 46 of Directive 2014/17/EU of the European Parliament and of the Council of 4 February 2014 on credit agreements for consumers relating to residential immovable property (OJ L 60, 28.2.2014, p.34).