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Version status: In force | Document consolidation status: Updated to reflect all known changes
Version date: 1 February 2011 - onwards
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Regulation 2 Entitlement to rebate

(1) Where early settlement takes place the creditor shall, subject to the following provisions of this regulation, allow to the debtor under a regulated consumer credit agreement a rebate at least equal to that calculated in accordance with the following provisions of these Regulations.

(1A) Early settlement takes place under paragraph (1) where -

(a) the indebtedness of the debtor is discharged or becomes payable before the time fixed by the agreement -

(i) under section 94(1) of the Act,

(ii) on refinancing,

(iii) on breach of the agreement, or

(iv) for any other reason,

(b) the indebtedness of the debtor is discharged in part under section 94(3) of the Act, or

(c) any sum becomes payable by the debtor before the time fixed by the agreement.

(2) Paragraph (1) does not apply in the case of agreements of the following descriptions -

(a) agreements under which no payments of items included in the total charge for credit are required to be made in respect of the period of time commencing

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