Most personal credit agreements are regulated under the Consumer Credit Act 1974 (The Act 74).  The Act 74 sets out the rules which state the rights and obligations for both the lender and the borrower. The consumer credit act gives borrowers many rights and protections under a regulated agreement.

There are some debts that are not regulated under the Act 74. These are some examples of non-regulated agreements:

  • An agreement providing £25,000 or more credit which was signed before 6th April 2008 (or £15,000 if signed before 1st May 1998)

  • A mortgage

  • A small agreement less than £50

  • Some low-interest agreements such as student loans

  • Services intended to be repaid in one amount, such as charge cards

  • Credit agreements of £25,000 or more signed after 6th April 2008 where the debt was wholly or primarily for business use

From 6 April 2007 partnerships with four or more partners are not be covered by the Act 74.