Adequate Explanations

This document is provided to help you decide whether taking out a loan with The Money Platform is right for you. It is designed to explain, in clear and practical terms, how the loan works, the key risks, and the potential impact on your finances. It should be read alongside the Pre-Contract Credit Information (PCCI). The full Credit Agreement setting out the contractual terms will be provided to you if you choose to proceed with the loan.

1. What This Loan Is

This is a fixed-sum, unsecured personal loan regulated by the Consumer Credit Act 1974. You borrow a fixed amount of money and agree to repay it over a set period through scheduled repayments.

Once the loan is taken out, you are legally required to repay the full amount owed in line with the agreement, even if your circumstances change.

2. How Much the Loan Will Cost

Your loan has a total cost of credit, which includes:

• The amount you borrow.
• Interest charged over the loan term.
• Any fees included in the agreement.

The total amount you will repay, and the repayment schedule are shown clearly in your Pre-Contract Credit Information and Credit Agreement. You should check that you understand:

• How much each repayment will be.
• How often repayments are due.
• The total amount you will repay over the full term.

3. How Repayments Work

Repayments are taken on the dates set out in your agreement using a Continuous Payment Authority (CPA). You must ensure that sufficient funds are available on each repayment date.

If you miss a repayment, the amount will remain due and further action may be taken to recover the payment.

You should only proceed if you are confident that you can make all repayments on time without needing to rely on further borrowing.

4. What Happens If You Miss a Payment

If a repayment is missed:

• You will be contacted to remind you that a payment is outstanding.
• Interest may continue to accrue in line with the agreement.
• Missed payments may be reported to credit reference agencies in line with regulatory requirements.

Missed or late repayments can negatively affect your credit file and may make it harder or more expensive to obtain credit in the future.

The firm may apply a late payment fee at its discretion, and ongoing non-payment may lead to referral to a debt collection agency.

5. Financial Difficulty and Forbearance

If you experience financial difficulty, you should contact The Money Platform as soon as possible.

Depending on your circumstances, the firm may offer support options, which can include one of more of the following:

• A short payment holiday.
• A temporary reduced payment arrangement.
• Freezing interest for a period.
• A longer-term repayment plan.

These arrangements are considered on a case-by-case basis, considering your circumstances, affordability, and ability to make sustainable repayments.

6. Is This Loan Right for You?

You should consider whether:

• The loan is for a necessary expense rather than discretionary spending.
• You can afford the repayments alongside your essential living costs.
• Your income is stable enough for the duration of the loan.
• There are alternative options available to you, such as saving, delaying the expense, or seeking free debt advice.

This loan may not be suitable for certain types of use. For example, you should not use this loan:

• To cover ongoing day-to-day living costs, such as rent, utilities, food, or regular household bills.
• To meet long-term borrowing needs where repayment would need to be spread over an extended period.
• To consolidate multiple existing debts where you are already having trouble managing repayments.

This loan is intended to meet a specific, short-term financial need where you are confident you can make the agreed repayments in full and on time. If you require ongoing financial support or are struggling with existing debt, this loan may not be appropriate for your circumstances.

7. Consequences of Taking Out the Loan

Taking out this loan will:

• Commit you to regular repayments for the full loan term.
• Reduce your disposable income while the loan is outstanding.
• Affect your credit file based on how you manage repayments.

If you are unsure whether this loan is suitable, you should not proceed until you have sought independent advice.

8. Where to Get Help or Advice

If you are experiencing financial difficulty or are unsure whether this loan is appropriate, you may wish to seek free, independent debt advice from organisations such as MoneyHelper.

9. Your Decision

You are not required to take out this loan. You should only proceed if you fully understand the agreement, the costs involved, and the potential consequences, and are satisfied that the loan is suitable for your circumstances.

10. Your Right to Withdraw

You have a statutory right to withdraw from this credit agreement. You may withdraw from the agreement within 14 days, starting from the day after the agreement is made. If you choose to withdraw, you must repay the amount of credit you have received, together with any interest that has accrued from the date the loan was provided until the date it is repaid.

Withdrawing from the agreement will cancel the loan, but it does not remove your obligation to repay the amount you have already borrowed and any applicable interest.

Full details of how to exercise your right to withdraw, including how to notify us and the timescales for repayment, are set out in your Credit Agreement and Pre-Contract Credit Information.