Consumer Credit Agreements

The consumer is entitled to seek appeals against the lender if he has applied for an action against the supplier of goods or services, but has not been satisfied if the goods or services are sold: in the event of a home sale, the lender must respect the consumer`s decision to refuse to sell at home (the installation of a sticker or distinctive sign) and to respond to the consumer`s request to leave the premises and/or not to return. If these elements are not complied with, the creditor may expect severe penalties. The credit contract must also contain similar information in a format similar to that of the pre-contract phase. Consumers have 14 days to cancel the credit contract. They may inform the lender, either in writing or orally, that they wish to exercise their right of withdrawal. Consumers do not need to justify their decision to opt out of the credit contract. To simplify, the example below is limited to agreements reached by telephone: if cost overruns last more than a month, the lender must inform the consumer in a document or on another sustainable medium: as soon as the lender has received notification of the consumer`s intention, it must communicate to the consumer the exact amount of the reduction in the cost of credit. If so, the lender must inform the consumer of the amount of compensation due for the prepayment. See the full list of credit contracts that are not covered by consumer credit contract rules. The consumer must be informed of the transfer unless the original lender continues to manage the credit contract with the consent of the transferee. The termination also includes the automatic closing of all contracts or ancillary contracts (e.g. B insurance policy).

One of the main objectives of the law and other relevant consumer credit laws is to protect the consumer. As a result, the industry is highly regulated and creditors are subject to strict requirements, through the industry`s global licence, specific practices to be followed, procedures to follow and documents to be provided in connection with the agreement. When a loan is offered at a point of sale, the lender must ensure that the consumer receives, appropriately, all the necessary information at that point of sale, under conditions guaranteeing the confidentiality of the exchange of information. The consumer can reimburse all or part of the amount in the credit agreement at any time. In this case, the consumer is entitled to a reduction in the total cost of the credit corresponding to the interest and taxes due for the remainder of the contract. Here is a complete list of information that the lender or credit intermediary must provide to the consumer before the conclusion of the credit agreement. There are other circumstances in which you need court authorization to enforce an agreement and the client may be entitled to compensation or a reduction of an amount that he still owes to the creditor, for example. B, if a client`s creditworthiness has not been properly assessed by the creditor prior to the conclusion of an agreement; The terms of the agreement were not properly explained to the client; The client, since he did not provide information on the most important information prior to the conclusion of the contract; If an error was made in the agreement or if important information was omitted; If the customer has not signed the contract; and if the customer has not received a copy of the agreement.