Credit Act 1984

Where—

the debtor under a continuing credit contract queries, by a written document given or sent to the credit provider, any amount or other matter (being matter that the debtor reasonably believes is incorrect as to the nature or extent of the liability of the debtor to the credit provider) shown in a statement of account given to him in accordance with section 61;

the document contains sufficient details to enable the credit provider to identify the statement of account;

the document is given or sent to the credit provider before payment under the contract is due in respect of the statement of account; and

the credit provider does not take such action as satisfies the query—

If the credit provider corrects, in a manner that satisfies the query, the amount or other matter in the statement of account relating to the next billing cycle given to the debtor or a subsequent billing cycle, the credit provider may not impose any charge for the provision of credit, or otherwise, in respect of that next billing cycle and any such subsequent billing cycles, relating to the queried amount or other matter, and the imposition of any such charge is, without limiting subsection (4), void.

The debtor may apply to the Tribunal, before the expiration of the two complete billing cycles that next succeed the giving by the credit provider to the debtor of a written notification of his decision in relation to the query, for a determination to be made with respect to the queried amount or other matter, and any right of action, and obligation to pay, referred to in subsection (1) are further suspended until the Tribunal makes its determination.

The determination of the Tribunal is conclusive as to the matters in dispute, and the Tribunal may make such orders as it thinks fit, including—

an order that the whole or a specified part of the credit charge or other charges that would have been payable by the debtor had he not made his query are payable by him; and

an order removing the suspension imposed by subsection (1).

A credit provider shall not institute proceedings in respect of a right of action referred to in subsection (1) while the right of action is, by virtue of this section, suspended.