What is a CCA loan?

A CCA is a Consumer Credit Agreement; which covers many forms of lending and is regulated under the Consumer Credit Act. The consumer credit act provides you with rights when entering into a credit agreement.

What is a non regulated finance agreement?

An unregulated agreement gives no additional statutory protections to the customer. They can be signed on or off trade premises and there is no requirement to show an APR. There are also no statutory termination or repossession rights or protections for the customer.

Who does CCA apply to?

The CCA only applies to ‘regulated agreements’, where the borrower is an individual (ie a consumer) and where a statutory exemption doesn’t apply. An example of this is the ‘business purposes’ exemption which applies to credit agreements exceeding £25,000 entered into by borrowers for business purposes.

What is an exempt credit agreement?

(6) A credit agreement is an exempt agreement if— (a)the lender is an investment firm or a credit institution, and. (b)the agreement is entered into for the purpose of allowing the borrower to carry out a transaction relating to one or more financial instruments.

What loans are CCA regulated?

In most cases, the following debt types will be regulated by the Consumer Credit Act:

• Credit cards.
• Store cards.
• Store finance.
• Payday loans.
• Personal loans.
• Hire purchase.
• Catalogues.

Who are the CCA?

Consumers. The CCA is the leading trade organisation for home credit businesses.

What mortgages are not regulated by the FCA?

A contract is not a regulated mortgage contract if it is:

• (1) a loan to a commercial borrower excluded under PERG 4.4.17 G or PERG 4.4.21 G; or.
• (2) a second charge loan by a credit union excluded under PERG 4.4.24 G; or.
• (3) a second charge bridging loan excluded under PERG 4.4.27 G;
• (4)

What is not regulated under consumer credit legislation?

Types of debt which are not regulated by the Consumer Credit Act include: Mortgages. Debts to individuals, such as family or friends. Debts to unlicensed lenders or loan sharks.

How does CCA work?

The CCA is a non-refundable tax deduction that reduces taxes owed by permitting the cost of business-related assets to be deducted from income over a prescribed number of years.

What is the difference between regulated and unregulated loans?

Put simply: a regulated loan is regulated by the Financial Conduct Authority (FCA), whereas an unregulated loan is not. Regulation means that consumers are protected from incorrect advice or miss-selling from lenders or brokers. Unregulated bridging loans don’t have this protection.

Are interest free loans regulated?

Interest-free buy-now-pay-later credit agreements will be regulated by the Financial Conduct Authority (FCA) in order to protect consumers under plans announced by the government today (2 February 2021).