You may prepay for types of loans covered by consumer credit law, but you will need to inform the lender in writing that you will. They give you an early settlement amount, which is the amount needed to settle the debt prematurely. If you take out a loan or get a loan for goods or services, you can enter into a credit agreement. You have the right to terminate a credit agreement if it is covered by the Consumer Credit Act 1974. You can resign within 14 days, which is often referred to as “reflection time.” Contact the lender to tell them you want to cancel – this is called “notification”. It`s best to do this in writing, but your credit agreement will tell you who you should talk to and how. The truth is that consumers who lend money enjoy protection under the Consumer Credit Act and when lenders do not provide certain information (so-called mandatory conditions) intended to protect a borrower, they face drastic consequences. These may be that the agreement cannot be enforced and no action can be taken to enforce the loan. (a) a document, as prescribed, containing itself all the prescribed conditions and in accordance with the provisions of section 60 (1), signed in the manner prescribed by the debtor or lessee and by or on behalf of the creditor or landlord, and A: you may repay the remainder of the loan to terminate it prematurely; depending on the terms of the agreement. .