Banking and finance dispute barrister advice

Banking and finance disputes can affect a person’s home, credit position, business assets or ability to continue trading. The applicable rights may depend on the wording of the agreement, the security provided and whether the arrangement is regulated by consumer-credit or financial-services legislation.

Barristerly provides a straightforward way to obtain focused online advice from an experienced Public Access barrister about banking, lending and finance disputes in England and Wales.

The barrister can help you understand the agreement, assess whether a lender or borrower has complied with its obligations and decide what practical steps to take next.

Banking and finance disputes we may be able to help with

Loan and credit agreements

Disputes may arise about the existence, meaning, enforceability or performance of a loan or credit agreement.

Advice may cover:

  • whether a binding agreement was made;

  • whether the loan was made to an individual or business;

  • the amount advanced and the balance outstanding;

  • repayment terms;

  • interest and default interest;

  • fees and other charges;

  • variations or refinancing;

  • oral or informal loan agreements;

  • whether the agreement is regulated;

  • compliance with statutory requirements;

  • default and acceleration of repayment; and

  • the remedies available to the lender or borrower.

Disputed loans between individuals or businesses

Money transferred between family members, friends, directors, shareholders or associated businesses may later be disputed.

A barrister may advise on:

  • whether the payment was a loan, investment, gift or capital contribution;

  • the agreed repayment date;

  • whether interest was payable;

  • oral agreements and informal arrangements;

  • conditional loans;

  • loans repayable on demand;

  • payments already made;

  • set-off and counterclaims;

  • limitation periods;

  • the evidence needed to establish the agreement; and

  • recovery or defence of the amount claimed.

Consumer credit disputes

Consumer-credit agreements are subject to statutory and regulatory requirements which may affect enforcement and the remedies available.

Advice may concern:

  • whether the agreement is regulated;

  • the form and contents of the agreement;

  • pre-contract information;

  • notices and statements;

  • default notices;

  • termination and enforcement;

  • the creditor’s compliance with statutory requirements;

  • whether an unfair relationship may exist;

  • the amount legally recoverable;

  • time orders or other court remedies;

  • liability of a connected lender; and

  • complaints to the lender or Financial Ombudsman Service.

Responsible and affordable lending

A borrower may allege that a lender failed to assess whether credit was affordable or lent in circumstances where repayment was likely to cause serious financial difficulty.

A barrister may advise on:

  • the information available to the lender;

  • creditworthiness and affordability assessments;

  • the borrower’s income, expenditure and existing commitments;

  • repeat or escalating borrowing;

  • whether further enquiries should have been made;

  • regulatory lending standards;

  • causation and financial loss;

  • the relevance of the borrower’s own information or conduct;

  • complaints and redress; and

  • whether the matter is better pursued through an ombudsman or the courts.

Not every breach of a regulatory rule automatically gives rise to a civil claim. The particular agreement, borrower and legal basis of the proposed claim must be considered.

Personal guarantees

A personal guarantee may make an individual responsible for the debts of a company, partnership or another borrower.

Advice may cover:

  • the meaning and extent of the guarantee;

  • whether liability is capped or unlimited;

  • continuing guarantees;

  • compliance with signing and witnessing requirements;

  • whether the guarantee was supported by consideration;

  • alleged misrepresentation, undue influence or economic pressure;

  • the significance of independent legal advice;

  • variation of the underlying loan;

  • whether the guarantor has been released or discharged;

  • demands made under the guarantee;

  • liability between co-guarantors;

  • indemnities; and

  • enforcement against the guarantor’s assets.

Corporate guarantees and indemnities

Companies may provide guarantees, indemnities or security for the obligations of related companies or other borrowers.

A barrister may advise on:

  • corporate authority to enter the transaction;

  • board approval and decision-making;

  • the interpretation of the guarantee or indemnity;

  • conditions precedent to liability;

  • the relationship with the underlying debt;

  • amendments to the principal finance documents;

  • demands and enforcement;

  • limitation and exclusion provisions;

  • contribution between guarantors; and

  • the effect of insolvency.

Mortgages and secured lending

A mortgage or legal charge gives the lender security over property if the borrower fails to meet the agreed obligations.

Advice may concern:

  • the terms and validity of the mortgage or charge;

  • the amount secured;

  • mortgage arrears;

  • disputed interest and charges;

  • default notices and demands;

  • entitlement to possession;

  • possession proceedings and possible defences;

  • the lender’s power of sale;

  • duties when selling secured property;

  • redemption of the mortgage;

  • sale proceeds and mortgage shortfalls;

  • priority between competing charges; and

  • the effect of guarantees or additional security.

Different rules may apply to residential regulated mortgages and commercial lending secured against property.

Enforcement of security

Commercial finance may be supported by charges over land, company assets, receivables, equipment or other property.

A barrister may advise on:

  • whether the security was validly created;

  • registration and priority;

  • fixed and floating charges;

  • debentures;

  • enforcement events;

  • appointment and powers of receivers or administrators;

  • sale of secured assets;

  • competing claims to the property;

  • redemption and release of security;

  • challenges to enforcement; and

  • the effect of the borrower’s insolvency.

Where bankruptcy, administration or winding-up proceedings are involved, our Insolvency and Bankruptcy page may be more appropriate.

Interest, charges and account balances

Disagreement may arise over the amount said to be due under a banking or finance agreement.

Advice may cover:

  • calculation of contractual interest;

  • variable interest rates;

  • default interest;

  • arrangement, administration or termination fees;

  • early-repayment charges;

  • whether fees were properly incorporated;

  • disputed account entries;

  • allocation of payments;

  • capitalisation of interest;

  • statements of account;

  • excessive or allegedly unfair charges; and

  • the evidence required to establish the correct balance.

An accountant or other financial expert may be required where the calculation depends on a lengthy or complex account history.

Misrepresentation and financial agreements

A borrower, guarantor or investor may allege that they entered into an agreement because of inaccurate or misleading information.

Advice may concern:

  • representations about the cost or risk of borrowing;

  • statements about interest rates or repayment obligations;

  • the availability or value of security;

  • representations made to a guarantor;

  • statements by brokers, dealers or intermediaries;

  • undisclosed commissions;

  • whether the representation induced the agreement;

  • exclusion or non-reliance clauses;

  • rescission; and

  • damages or other redress.

Bank accounts and payment disputes

Disputes may arise about transactions, restrictions or decisions affecting a personal or business bank account.

A barrister may advise on:

  • unauthorised transactions;

  • disputed payment instructions;

  • payments made following fraud or deception;

  • account freezes or restrictions;

  • closure of an account;

  • refusal or delay in executing a payment;

  • payment mandates and authority;

  • chargebacks;

  • recovery of mistaken payments;

  • breach of contractual or statutory duties; and

  • complaints to the bank or Financial Ombudsman Service.

If fraud is continuing or funds have recently been transferred, the bank and appropriate authorities should be contacted immediately. The ordinary Barristerly booking process is not an emergency fraud-recovery service.

Vehicle finance agreements

Vehicle finance disputes may involve hire purchase, personal contract purchase, conditional sale or other credit arrangements.

Advice may cover:

  • the terms of the finance agreement;

  • liability of the dealer and finance provider;

  • defective or misdescribed vehicles;

  • rejection, repair or replacement;

  • deposit and part-exchange payments;

  • voluntary termination;

  • early settlement;

  • excess-mileage or condition charges;

  • default notices;

  • repossession or return of the vehicle;

  • undisclosed or disputed commission;

  • termination following breach; and

  • the balance claimed after termination.

Asset finance and leasing

Businesses may acquire equipment, vehicles or machinery through hire, leasing or asset-finance arrangements.

A barrister may advise on:

  • whether the arrangement is a lease, hire-purchase agreement or secured loan;

  • ownership of the financed asset;

  • rental and repayment obligations;

  • delivery or performance problems;

  • defects in the equipment;

  • warranties and supplier responsibility;

  • default and termination;

  • repossession;

  • sale or disposal of the asset;

  • termination payments;

  • guarantees and indemnities; and

  • shortfall claims.

Default and termination

A lender may seek immediate repayment or enforcement where a borrower is alleged to have defaulted.

Advice may concern:

  • whether an event of default has occurred;

  • the validity of a demand or default notice;

  • acceleration of the debt;

  • contractual notice and cure periods;

  • cross-default provisions;

  • termination of further lending facilities;

  • enforcement of guarantees or security;

  • repossession of financed assets;

  • whether the lender has waived or varied its rights;

  • the borrower’s defences or counterclaims; and

  • the consequences of wrongful termination or enforcement.

Complaints and the Financial Ombudsman Service

Some banking and finance disputes may be dealt with through the financial institution’s complaints procedure and, where the complainant is eligible, the Financial Ombudsman Service.

A barrister may advise on:

  • whether the dispute may fall within the Ombudsman’s jurisdiction;

  • the institution’s final response;

  • the applicable complaint deadline;

  • the evidence supporting the complaint;

  • the potential remedies;

  • whether to accept an Ombudsman decision;

  • the relationship between an Ombudsman complaint and court proceedings; and

  • whether litigation may be more appropriate.

The Financial Ombudsman Service is not available for every business or every type of financial dispute. Eligibility and jurisdiction must be considered in the individual case.

What advice can the barrister provide?

Depending on the questions accepted, the barrister may help you understand:

  • the meaning and effect of the loan, guarantee or finance agreement;

  • whether the agreement may be regulated;

  • whether a borrower, lender or finance provider has breached its obligations;

  • whether a demand, default notice or termination appears valid;

  • whether a guarantee or security may be enforceable;

  • the correct basis of the amount claimed;

  • the strengths and weaknesses of your position;

  • what financial or expert evidence may be required;

  • whether a complaint, negotiation, ombudsman referral or court proceedings may be appropriate; and

  • the practical steps you should consider taking next.

Fixed-fee online banking and finance advice

The Barristerly package costs £750, including VAT, and provides up to two hours of the barrister’s professional time in total.

It ordinarily includes:

  • advance consideration of your information;

  • review of up to 20 pages of the most relevant documents;

  • an online consultation of up to 60 minutes; and

  • a short written summary of the principal advice and recommended next steps.

The remaining time is divided between preparation and producing the written summary at the barrister’s professional discretion.

Relevant documents might include the loan or finance agreement, guarantee, mortgage or security document, default notice, demand, account statement, complaint response and important correspondence.

Is the fixed-fee package suitable for every banking or finance dispute?

The package provides focused legal advice on defined questions. It does not provide financial, investment or debt-management advice. It also does not include a detailed audit or recalculation of lengthy accounts, extensive document review, preparation of substantial court documents, the conduct of proceedings or representation at a hearing.

Banking and finance disputes can involve lengthy agreements, complex calculations, regulatory issues or urgent enforcement action and may not be capable of proper assessment within the available time. The barrister may ask you to narrow your questions or documents, decline the instruction or discuss separate terms for additional work.

If possession proceedings, repossession or enforcement are imminent, an account has just been frozen, suspected fraud is continuing or a complaint or limitation deadline is approaching, you should obtain immediate assistance and should not rely on the ordinary Barristerly booking process.

Request a banking or finance consultation

Choose an available appointment and tell us briefly about the agreement, the dispute and the questions you would like answered.

Your request remains provisional until the barrister has completed the necessary conflict and suitability checks and confirmed the instruction in writing.

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Barristerly is an independent booking and introduction service connecting clients with participating independent Public Access barristers. Barristerly is not a firm of solicitors or a barristers’ chambers and does not itself provide legal advice.