Repossession Conduct

A bank cannot rely on the CRM Code exception to avoid reimbursement where the customer had a reasonable basis for believing the transaction was genuine, even if they did not obtain independent legal advice.

A lender must report true and accurate information to credit reference agencies, even where the borrower is in genuine difficulty, but must handle repossession proceedings fairly and promptly to avoid causing undue distress.

A lender may reasonably ask for return of goods under a conditional sale agreement when the consumer has failed to adhere to agreed payment plans and accumulated significant arrears, even where the consumer has vulnerability issues.

A supplier of a used vehicle must ensure it is of satisfactory quality at the point of supply, but faults that develop after purchase are not relevant to this assessment.

A lender may reasonably expect full repayment of a mortgage following the borrower's death and take repossession action if no progress is made after a reasonable period.

A mortgage lender may send standard letters notifying borrowers of payment obligations and including repossession warnings without this constituting unfair or threatening conduct.

A lender may recover contractually agreed legal costs incurred in debt recovery proceedings even if added to the loan balance years later, provided the consumer was treated fairly overall and the lender acted in accordance with the loan ter

A bridging lender must ensure lending is affordable and the borrower has a credible repayment strategy at the end of the term.