3 Types of Bank Loan Disputes

Getting a bank loan involves many legal complications, terms, and conditions to adhere to. Many times these complications lead to loan agreement disputes. If you’re new to this concept, here are three types of bank loan disputes to know about.

Breach of Contract

One of the most common types of bank loan disputes is a breach of contract. As the term suggests, this loan disagreement refers to a case in which one or more parties fail to meet the requirements of a contract. In other words, this dispute occurs when the borrower or lender doesn’t comply with the terms and conditions stated in their loan contract.

When this happens, a contract becomes unviable, making it unfair for both the lender and borrower to further continue to a specific transaction. Furthermore, this disagreement becomes eligible for a lawsuit from one party against another.

Miscalculation of Additional Taxes and Charges

Another type of bank loan dispute many people find themselves in is one where the lender usually fails to remain transparent or miscalculates additional taxes and interest charges within a loan. This usually occurs when the borrower isn’t informed or communicated about extra charges and is caught off-guard with unprecedented expenses.

This bank loan dispute often puts a bank and their personnel’s credibility in jeopardy due to their actions involving adding extra expenses that a borrower didn’t anticipate at all. A borrower has the right to file a lawsuit in such disputes.

Violation of Statutory Rights

Lastly, another common dispute is the violation of statutory rights. It refers to a case in which the lender or borrower fails to follow the rules and regulations decided during the transfer of credit. This may include non-compliance with repayment terms, showing faulty credit reports, hiding additional charges, or more.

It may become a challenge for lenders to recover payments from borrowers if they violate their statutory rights.

Looking for a solicitor or litigation lawyer in Wembley who can assist you in settling or getting out of bank loan disputes such as the ones mentioned above? You can now count on us at Wembley Solicitors to help you resolve basic and complicated loan disputes by going over your case, its strengths, weaknesses, and obstacles to determine a tailored solution for you. We’re a leading team of lawyers in the UK, assisting our clients with settling in the UK, acquiring a British visa, getting child custody, settling land disputes, and representing cases related to loan agreement disputes. Contact us to learn more today!