Refinancing of credit contracts by the same parties
69 Refinancing of credit contracts by the same parties
Where a credit provider agrees to discharge one or more regulated contracts to which the credit provider and the debtor are parties in consideration of the entering into another credit contract by the debtor (whether or not a regulated contract), the credit provider shall, before entering into the other credit contract, give to the debtor a statement in writing stating, in respect of each of the regulated contracts to be discharged—
the amount that would be due to the credit provider under section 105 if, immediately before the relevant date, the debtor were to discharge his obligations under the contract in accordance with that section; and
in the case of a regulated credit sale contract or a regulated loan contract, particulars of the calculation of that amount by setting out—
the outstanding balance of the amount financed;
the outstanding balance of the accrued credit charge;
the outstanding balance of deferral charges (if any) charged in accordance with this Part;
the outstanding balance of default charges (if any) charged in accordance with this Part; and
the outstanding balance of enforcement expenses (if any)—
and (where the relevant insurance and maintenance contracts are discharged) the amounts of statutory rebates (if any) of insurance charges and maintenance charges deducted from the sum of the amounts referred to in subparagraphs (i) to (v).
In subsection (1), relevant date means the date on which the new credit contract is entered into or, if that credit contract is entered into by the acceptance by the credit provider of an offer made by the debtor, the date on which the offer is made.
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