The borrower took out a fixed interest loan from the bank. It was a regulated consumer credit agreement under the 1974 Act. He defaulted, and the plaintiff sought payment of the full remaining balance. Judgment was entered for that sum. The creditor applied to be allowed to pay by instalments, but the registrar set aside the judgment, saying that it had wrongly ignored any rebate for early settlement.
Held: The lender’s appeal succeeded. The full balance was due on the default. No doubt any court asked to enforce the judgment might make due allowance from the acceleration included.
Judges:
Lord Donaldson of Lymington MR
Citations:
[1990] 2 QB 670, [1989] 3 WLR 1229
Statutes:
Consumer Credit Act 1974 94 95, Consumer Credit (Rebate on Early Settlement) regulations 1983 4 5
Jurisdiction:
England and Wales
Consumer
Updated: 04 May 2022; Ref: scu.445467