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Posted: Mon Oct 27, 2008 12:12 am
by hunter
Hello there, I received in the post the other day from Lloyds TSB Bank an Enforcement Notice Served Under Section 76(1) of the Consumer Credit Act of 1974. Could you please explain to me what my rights are and does this mean that the bank will be aking me to court?? Also I would like some advice as to how to proceed from this point forward. thank you very much for yourr help !!
Posted: Mon Oct 27, 2008 6:45 am
by kallis3
Hi,
I'm going to bump this one back up so one of the technical experts can see it.
Are you in an IVA or DMP or are you just starting out on the road to sorting your finances out?
If you are already in an IVA, they can't do anything to you.
Posted: Mon Oct 27, 2008 9:56 am
by moretolife
bump
Posted: Mon Oct 27, 2008 10:49 am
by ianmillington
S76. Duty to give notice before taking certain action
(1) The creditor or owner is not entitled to enforce a term of a regulated agreement by—
(a) demanding earlier payment of any sum, or
(b) recovering possession of any goods or land, or
(c) treating any right conferred on the debtor or hirer by the agreement as terminated, restricted or deferred,
except by or after giving the debtor or hirer not less than seven days’ notice of intention to do so.
So basically it's a notice the creditor legally has to give before taking action. What that action will be will depend upon the agreement. For example using this notice the creditor can bring an end to an instalment agreement and thus claim for the whole balance. If you are in an IVA it may simply be a procedure the creditor has gone through to enable them to submit a proof of debt.
If this doesn't answer your question we'll need some more info eg the nature of the loan, whether or not you are in an IVA etc.
HTH
Ian
Posted: Mon Oct 27, 2008 1:58 pm
by MelanieGiles
Ian - is this another name for a default notice?
If so, am I right in thinking this cannot be served until at least three instalment payments have been missed?
Posted: Mon Oct 27, 2008 2:27 pm
by ianmillington
Apparently not. My guess is that this notice may well have been preceded by a default notice under S 88 which, amongst other things, allows for further action including termination.
76(1) does not allow for termination - it is for enforcement only, by whatever means, and it provides for 7 days notice so I would suggest it must be the follow up to a default notice.
I expect all will become clear when we know about the nature of the debt.