Introduction to Consumer Credit
Consumer credit refers to credit in some form given to the
consumers. It is a way of financing a client on condition of a
deferred payment, at a later date or within a particular period
of time.
The businesses that provide consumer credit facilities need to
comply with some regulations as lay down by the laws of the
state. It is equally applicable to specialist credit businesses
like credit card providers and money lenders to mail-order
businesses or shops that permit the customers to buy on credit
or lease out or hires goods. That is, the enterprises that give
consumer credit facilities have to have a valid consumer credit
license from the Office of Fair Trading (OFT). It is a mark of
assurance to the customer that the business firm certified by
OFT is fit for serve the customers.
Let us see which all businesses require a consumer credit
license as a mandatory requirement by the law. The businesses
that sells on credit, leases out or hires goods for over a
period of 3 months, lends dollars, involved in credit card
selling, arranges credit for others, provides hire/purchase
commodities, collects debts, and give advise on others credit
standing come under the purview of a consumer credit license.
But those lends amounts or hire goods for a cost more than a
fixed amount, those deal only with limited companies and those
allow the clients to pay back the amount in four or lesser
installments are exempted from the consumer credit license.
It Takes Time To DIY
Over at <em>The Record</em>, NPR arts editor Tom Cole has an interesting thought about the new self-empowered music economy and jazz artists. Not that creating an online profile is a good or bad thing, he writes -- just that it takes a minute to do right.
Hiromi, Michel Camilo On JazzSet
At Newport's Harbor Stage, Hiromi's stride-style left hand pumps rhythm to support the fabulous speed and articulation of her right. And on the Main Stage, the Michel Camilo Trio plays his signature arrangement of "Poinciana" and ends his set with a lively "A Night in Tunisia."
Listening, Party For Two: Miles and Monk At Newport, 1955
The Boss Lady is currently on her way to the Newport Folk and Jazz Festivals. So we thought we'd spring on her a classic jazz recording made at Newport: Miles Davis' 1955 live version of "Round Midnight," with composer Thelonious Monk on piano.
Kevin Whitehead On Willem Breuker
The jazz critic of NPR's <em>Fresh Air</em> literally wrote the book on Dutch jazz. He remembers the freewheeling, self-taught saxophonist and bandleader from Amsterdam whose penchant for stage humor was entertaining and iconic.
Ideally one should check the guidelines from the OFT website to
find out clearly which all businesses need a consumer credit
license. Remember, to trade without a consumer credit license
when you are required to earn one is a crime that invites fine
or prison term or both.
Consumer credit license is valid for a fixed time period (5
years or so) and is required by the business to renew it after
its expiry. However, the OFT can revoke, suspend or change the
license at any point of time. The decision to do so is at the
exclusive discretion of the authority. All the consumer credit
license holders will be listed in the Consumer Credit Register,
which is given free of cost for the public.
If the business consists of many companies, each trading in any
of the categories, then each of the firms requires a separate
license. Also, the OFT has laid down rules regarding advertising
credit and credit agreements. All these details are furnished in
the OFT website.
The government and the regulatory body assume that it is the
duty of the business to keep themselves informed about the rules
and regulations that govern their enterprises. Any breach of
conduct can result in hefty fines and prison terms. It is all
about being law-obedient and straight.
About the author:
Jakob Jelling is the founder of http://www.cashbazar.com. Visit
his website for the latest on personal finance, debt
elimination, budgeting, credit cards and real estate.
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