It is important that you read the Pre-Contract Information (PCI) and the Credit Agreement carefully before you sign so that you are in a better position to assess whether the credit agreement meets your requirements and financial circumstances.
This document explains:
- Key features of the Agreement and suitability
- How much you have to pay
- The likely consequences where you do not make payments on time
- Your right to withdraw from the agreement
You are entering into a fixed sum loan agreement with Social Money Ltd trading as Payl8r (we / us). We are authorised and regulated by the Financial Conduct Authority with reference number 675283.
You are entering into this Agreement to purchase goods or services from a retailer.
The credit is only suitable for the purchase of goods and services that you have selected from the retailer and is not suitable for any other purpose.
Please understand how much credit Social Money Ltd is providing, the period over which the credit has to be repaid and the details of the payments you must make.
Please take into consideration the importance of your ability to make the payments under this Agreement. You should consider whether your circumstances are likely to change in the future which might impact on your ability to make repayments. If you think that they may do so, then you should not enter into the Agreement.
How much you have to pay
Your Agreement has an interest free period. If you repay in that period, then you will not pay any interest. The total amount you must pay will be the total of the amount of credit, plus your selected deposit and a £4.95 application fee.
If you do not repay the credit in the interest free period then you must pay interest on the amount of credit for the full duration of the Agreement, including for the interest free period. The amount and date of your repayments is set out in your Credit Agreement. The total amount payable will be the sum of the credit, the deposit, the application fee of £4.95 and the interest.
What you should be aware of
You should be aware of the following:
If you repay the loan during the interest free period, then you will not have to pay any interest. However, if you do not do so we will charge you interest for the entire period of the loan, including the interest free period. This interest will be charged on the full amount of credit for the duration of the loan.
If you wish to cancel the Agreement after the withdrawal period (see below), but before the credit has been provided you can do so.
If you do not keep us informed about any changes in your address, email address or phone number and we have to trace you, we may charge you.
We may assign our rights and obligations under this Agreement to a third party, or transfer the Agreement to a third party, in whole or in part. We shall only do this, however, if it does not cause you any material prejudice. You may not assign or transfer this agreement.
You must tell us immediately if your employment is at risk, if you are at risk of losing your place in University, or at risk of losing any benefits entitlement.
If you miss payments, we will apply charges. See below for more information.
The consequences of missing payments
- If we attempt to take a payment and it fails (3 per month) – £5
- If you miss a scheduled payment – £15
We will waive the above charge if you bring your account up to date within 28 days of the first fee being imposed.
We may also charge you the following standard charges in the following circumstances
- File preparation for debt collection – £30
- Unjustified Chargeback claim – £25
- If you fail to notify us of a change in address, number or email and we have to trace you – £35
- For any payment not made by CPA or Direct Debit – £10
Your right to withdraw
You have the right under section 66A of the Consumer Credit Act 1974 to withdraw from the Agreement without giving any reason before the end of 14 days beginning with the day after the day on which the Agreement is made or, if later, the day after the day on which we will tell you that we have signed the Agreement.
If you wish to withdraw you must give us notice by one of the following methods. Oral notice may be given to us by telephoning us on 0161 425 6363, or you may write to us by email to [email protected] or you may post notice to or deliver notice by hand to Payl8r, Social Money Ltd, 2nd Floor, St Johns House, Barrington Road, Altrincham WA14 1JY.
If you do give us notice of withdrawal and we have paid out the credit, you must repay to us the whole of the credit without delay, and in any event, by no later than 30 calendar days after giving notice of withdrawal. We charge interest at the daily rate set out on the first page of your Agreement on any credit that is repaid after the interest free period.
If you wish to pay by debit card, please telephone us on 0161 425 6363. If you wish to pay by cheque, please send it by first class post to us with the cheque addressed to Social Money Ltd t/a Payl8r and allow 10 working days from the day you post the cheque to us to allow us to process the payment. If you withdraw from the Agreement leaving sums outstanding we will notify Credit Reference Agencies and, if you do not pay, we will take legal action to recover the amount due.
Continuous Payment Authority (CPA)
You agree to make your payment by Continuous Payment Authority, or CPA. A CPA is an authority that you grant us to take your payments by debiting a debit or credit card, the details for which you give us at the time of your application, (or other debit or credit card details which you must supply us if the original supplied card has ceased to function).
You grant Payl8r the authority to collect the repayments via a CPA automatically from your debit or credit card for the instalment amount on the date of each monthly instalment as detailed in the Credit Agreement. You agree to ensure that there are sufficient funds in your account linked to the debit or credit card(s) provided to cover payment by 0030 hrs on the repayment date. Where there are insufficient funds in your account on the repayment date to cover full payment, we will attempt one further CPA for the full payment from your account 2 days later. If that is also unsuccessful, we will attempt to take a partial payment for half the amount 3 days after that. If that is successful, we will then attempt to take the remaining half payment. For any CPA attempt that is not on your scheduled date of repayment we will make you aware of the time and amount of the attempt before it is taken.
We will only undertake a maximum of two CPA attempts for the full amount and two CPA attempts for the half amount with regards to a scheduled repayment. You will be notified if these are unsuccessful, and an oral or written agreement will be entered into with you before any further CPA attempts are made for each missed instalment.
We will only undertake a maximum of two CPA attempts for the full amount and two CPA attempts for the half amount with regards to a cost or charge that may have accrued since your last scheduled payment was due. We will notify you of the amount and date of each attempt before we make it. You will be notified if there is a failed attempt, and an oral or written agreement will be entered into with you before any further CPA attempts are made for each missed cost or charge.
If we cannot take a scheduled repayment under the CPAs set out above and we have reason to believe that this is because you are in financial difficulties, we will not attempt to use a CPA to take any other instalment payment (or any charge) until we have first tried to contact you. If we cannot communicate with you or if you fail to communicate with us, we may recommence using the CPA and it is therefore important that you communicate with us if you are missing payments.
If you ask us to, we may, but do not have to, change the date of the month on which your payments are due.
You may cancel the CPA at any time by contacting us at Payl8r, 2nd Floor, St Johns House, Barrington Road, Altrincham WA14 1JY or telephoning us on 0161 425 6363, or by emailing us at [email protected]. If you do so we shall take your payment by direct debit.
If you have any questions, or there’s anything you don’t understand, or if you require any further information about Payl8r and its products, please contact the team on 0161 425 6363.
If you are unclear and require free, independent advice please contact Citizens’ Advice or go to www.moneyadviceservice.org.uk.