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CONC 8.4 Debt solution contracts


A firm must provide a customer with a written contract setting out its terms and conditions for the provision of its services.

[Note: paragraph 3.40a of DMG]


A firm must include in its written contract (other than a credit agreement to which the Consumer Credit (Agreements) Regulations 2010 apply) the following matters:

  1. (1)

    the nature of the service to be provided by the firm, including the specific debt solution to be offered to the customer;

    [Note: paragraph 3.40b of DMG]

  2. (2)

    the duration of the contract;

    [Note: paragraph 3.40c of DMG]

  3. (3)

    the total cost of the firm's service or, where it is not possible to state the total cost, the formula the firm uses for calculating its fees or charges or an estimate of the anticipated likely total cost may be given;

    [Note: paragraph 3.40c of DMG]

  4. (4)

    the circumstances in which a customer may terminate the contract and receive a refund in accordance with relevant law and any fees or charges the customer may be required to pay in that case; and

    [Note: paragraph 3.40d of DMG]

  5. (5)

    set out the duration and conditions for exercise of any right to cancel that may apply and any fees or charges the customer may be required to pay.

    [Note: paragraph 3.40e of DMG]


A firm must not include the following terms in a contract with a customer:

  1. (1)

    a term requiring the customer to sign a declaration stating in any way that the customer understands the requirements of the contract;

    [Note: paragraph 3.41a of DMG]

  2. (2)

    a term restricting or prohibiting the customer from corresponding with or responding to a lender or with any person acting on behalf of a lender;

    [Note: paragraph 3.41b of DMG]

  3. (3)

    a term which states or implies the firm has no liability to the customer; or

    [Note: paragraph 3.41c of DMG]

  4. (4)

    a term which states or implies that there are no circumstances in which a customer is entitled to a refund.

    [Note: paragraph 3.41d of DMG]


A firm may be required to make a refund of its fees and charges, in whole or in part, if a firm fails to deliver its service in whole or in part or it has carried out the service without reasonable care and skill.