Credit line agreement

CREDIT LINE AGREEMENT
regulated by the Consumer Credit Act 1974

Please note this is a sample credit agreement. It does not contain a credit line amount, any interest rates, an APR or the Total Amount Payable as this information can vary depending on our assessment of your application. You should read the agreements and other documentation provided to you in the application process to understand the terms that apply to any credit we may agree to provide.

THE PARTIES TO THE AGREEMENT

Credit Line

1. We promise to establish a credit facility in Your favor under which We will extend funds to You in the total maximum amount of [●] (the “Credit Line”) by allowing You to draw on Our funds in one or more draw downs (the “Draw Down”) during the period of three (3) months (the “Commitment Period”). Each Draw Down shall be in such amount as You may request, but the sum of all Draw Downs during the Commitment Period shall not exceed the amount of the Credit Line.

2. You may draw on the Credit Line by filing requests (the “Draw Down Request”) on the homepage operated by Us under the address: www.spotcap.co.uk through a designated account established for this purpose.

Minimum Payments

3. Each Draw Down will be repaid in consecutive monthly installments of principal along with interest and fees according to the repayment schedule delivered to You (the “Repayment Schedule”). Repayments shall be debited from Your bank account thirty (30) calendar days after the date of Draw Downs. You shall ensure that the balance on the Your account is sufficient to cover repayments.

4. If We cannot collect repayment from Your bank account on the relevant repayment date, We will try and get in touch with You to see what We can do to help arrange payment.

5. If We agree an alternative repayment arrangement with You, We will obtain Your consent before We continue to use continuous payment authority. If We have not agreed an alternative repayment date or if We are unable to contact You, We will make one further attempt to collect payment using continuous payment authority within thirty (30) days from the promise date. We will contact You the day before to let You know. We will try to get in touch with You again if that second attempt is also unsuccessful and We will not make any further attempts to collect payment using continuous payment authority without Your consent.

6. We will only ever attempt to collect the full amount outstanding, unless We accept an offer of payment from You which is less than the total amount outstanding and You consent to the part payment collection.

7. You may pay the outstanding balance then owing in either the full amount of the Credit Line Amount or any lesser sum without further bonus or penalty at any time.

8. Missing payments will have severe consequences and may make obtaining credit more difficult in the future. We may commence legal proceedings against You and the amount You owe Us will increase.

Total Amount Payable and Annual Percentage Rate

9. If You draw the amount equal to the entire Credit Line at the start of this Agreement and repay this in full over [●] months in [●] monthly installments, the total amount payable would be [●] and the APR would be [●]%.

Your Right to Withdraw

10. You have right to withdraw from this Agreement, without giving a reason, by contacting Us at [email protected] and informing Us that You wish to withdraw from the Agreement. Your right to withdraw ends fourteen (14) days from the date when this Agreement was delivered to You.

11. In case of withdrawal You must pay back the principal amount already received from Us and interest for the period starting at the date receipt of funds and ending at the date of repayment of the total without delay and within thirty (30) days. You will not have to pay any fees or other charges. You can obtain details of the balance and the daily amount of interest by contacting Us at [email protected].

Interest & Fees

12. You agree to pay fixed interest on the principal outstanding under each Draw Down (the “Interest”) and processing fees (the “Fees”) in the amounts specified in the Schedule 1.

Late Payment Charges

13. If You fail to comply with your obligation referred to in Clause 3 of this Agreement, You will pay to Us:

(a) a fixed late payment processing fee, as outlined below and according to the Repayment Schedule:

• Up to £999.99 per month: £40
• From £1,000.00 to a £9,999.99 per month: £70
• From a £10,000.00 or more per month: £100

(b) the Interest, charged to you with the first upcoming repayment, calculated from the date of default until after such default is cured or waived. You will be notified by email on the total amount of interest to be charged as well as the respective calculation;

(c) in addition, Spotcap Netherlands B.V. (UK Establishment) reserves the right to charge statutory interest on the default amount. The statutory interest is 8.25% per annum and will be calculated for each day you are in default until such default is cured or waived.

Statement of Account

14. You have right to receive, on request, and free of charge, at any time throughout the duration of this Agreement, a statement in the form of a table showing:

• Details of each installment owing under the agreement;
• The date on which each installment is due, the amount and any conditions relating to the payment of the installment;
• A breakdown of each installment showing how much comprises
  • capital repayment,
  • interest payment, and
  • if applicable, any other charges.

Termination

15. You have the right to terminate the Agreement unilaterally, subject to a three (3) business days’ prior written notice thereof to Us, subject to repayment of all payments due under the Agreement.

16. We have the right to terminate the Agreement unilaterally and with an immediate effect and declare the principal amount and interest and fees due under this Agreement owing at that time to be immediately due and payable in case of any of the following events:

• Your insolvency or bankruptcy, appointment of a receiver, trustee or custodian, for all or any part of Your property, or the commencement of any proceeding by You under any reorganization, bankruptcy, insolvency, dissolution or liquidation;
• Your death or death of any of Your partner, withdrawal of any of Your partner, or temporary suspension of Your business; or
• You fail to pay Your debts as they become due, concealment.

Governing Law

17. English law applies to this Agreement.

18. We maintain a complaints handling procedure that can be obtained at any time by contacting Us. You also have the right to complain to the Financial Ombudsman Service at South Quay Plaza, 183 Marsh Wall, London E14 95R or telephone 0845 080 1800.

19. The Financial Conduct Authority of 25 The North Colonnade, Canary Wharf, London E14 5HS is the supervisory authority under the Consumer Credit Act 1974.

Notices

20. Any notices required or permitted to be given hereunder shall be given in writing and shall be delivered by E-mail and such notices shall be addressed as follows:

• If to Us: [email protected];
• If to You: [●];
• or to such other E-mail address as either party may from time to time specify in writing to the other party.

DRAW DOWN CONDITIONS

Interest: [●]% per month
Fees: [●]%
Maximum Draw Down term: [●] months