28 Amendments of Salvatore DE MEO related to 2021/0171(COD)
Amendment 124 #
Proposal for a directive
Recital 15
Recital 15
(15) A number of Member States have applied Directive 2008/48/EC to areas not covered by its scope to enhance the level of consumer protection. In fact, several of the credit agreements not falling within the scope of that Directive can be detrimental for consumers, including short-term high cost loans whose amount is typically lower than the minimum threshold of EUR 200 set out in Directive 2008/48/EC. In this context, and with the aim to ensure a high level of consumer protection and to facilitate the cross-border consumer credit market, the scope of this Directive should cover some agreements that were excluded from the scope of Directive 2008/48/EC, such as consumer credit agreements below the amount of EUR 200. Likewise, other potentially detrimental products, because of the high costs they entail or high fees in case of missed payments, should be covered by this Directive, to ensure increased transparency and better consumer protection, resulting in higher consumer confidence. To this extent, leasing agreements, credit agreements in the form of an overdraft facility and where the credit has to be repaid within one month, and credit agreements where the credit is granted free of interest and without any other charges, including Buy Now Pay Later schemes, i.e. new digital financial tools that let consumers make purchases and pay them off over time, andwhere an obligation to purchase the object of the agreement is laid down either by the agreement itself or by any separate agreement, credit agreements in the form of an overdraft facility or overrunning and where the credit has to be repaid within one month but also credit agreements under the terms of which the credit has to be repaid within three months and only insignificant charges are payable should not be excluded from the scope of application of this Directive. Moreover, all credit agreement up until EUR 100 000 should be included in the scope of application of this Directive. The upper threshold of credit agreements under this Directive should be increased to take into account indexation to adjust for the effects of inflation since 2008 and in coming years.
Amendment 241 #
Proposal for a directive
Article 2 – paragraph 2 – point f a (new)
Article 2 – paragraph 2 – point f a (new)
(f a) credit agreements where the credit is granted free of interest and without any other charges other than late payment fees;
Amendment 243 #
Proposal for a directive
Article 2 – paragraph 2 – point f b (new)
Article 2 – paragraph 2 – point f b (new)
(f b) leasing agreements where an obligation to purchase the object of the agreement is not laid down either by the agreement itself or by any separate agreement;
Amendment 244 #
Proposal for a directive
Article 2 – paragraph 2 – point g
Article 2 – paragraph 2 – point g
(g) credit agreements which relate to the deferred payment, free of interests and without any other charges, of an existing debt;
Amendment 271 #
Proposal for a directive
Article 2 – paragraph 6 a (new)
Article 2 – paragraph 6 a (new)
6a. Only Articles 1, 2, 3, 19, 30 and 37 shall apply to credit agreements for amounts of less than or equal to EUR 200 and to credit agreements for amounts of less than or equal to EUR 3000 which do not provide for the payment of interest or other charges. In addition, the creditor shall indicate to the consumer the APR of the transaction in the advertisements and at the pre-contractual and contractual stage and shall comply with the provisions of Article 18, consulting, where appropriate, the databases referred to in Article 19.
Amendment 285 #
Proposal for a directive
Article 3 – paragraph 1 – point 5
Article 3 – paragraph 1 – point 5
(5) ‘total cost of the credit to the consumer’ means all the costs, including interest, commissions, taxes and any other kind of fees which the consumer is required to pay in connection with the credit agreement or crowdfunding credit services and which are known to the creditor, in the case of credit agreements, or to the crowdfunding credit services provider, in the case of crowdfunding credit services, except for taxes due on the contract and notarial costs; costs in respect of ancillary services relating to the credit agreement or crowdfunding credit services are also included in the total cost of the credit to the consumer where, in addition, the conclusion of a contract regarding such ancillary services is compulsory in order to obtain the credit or to obtain it on the terms and conditions marketed;
Amendment 423 #
Proposal for a directive
Article 10 – paragraph 4 – introductory part
Article 10 – paragraph 4 – introductory part
4. At the same time as the Standard European Consumer Credit Information form ishall provided to the consumer, the creditor and, where applicable, the credit intermediary or the provider of crowdfunding credit services, shall provide the consumer with the Standard European Consumer Credit Overview form set out in Annex II, containing the following with the following pre- contractual information at the beginning of the form, which information will be noticeably separated from the rest of the pre-contractual information provided on the same form:
Amendment 432 #
Proposal for a directive
Article 10 – paragraph 4 – point f
Article 10 – paragraph 4 – point f
(f) a warning regarding the consequences of missing or late payments including costs in the case of late payments;
Amendment 435 #
Proposal for a directive
Article 10 – paragraph 4 – point f a (new)
Article 10 – paragraph 4 – point f a (new)
(f a) information about early repayment in accordance to Article 29;
Amendment 437 #
Proposal for a directive
Article 10 – paragraph 4 – point f b (new)
Article 10 – paragraph 4 – point f b (new)
(f b) the existence of a right of withdrawal.
Amendment 444 #
Proposal for a directive
Article 10 – paragraph 5 – introductory part
Article 10 – paragraph 5 – introductory part
5. Information displayed in the Standard European Consumer Credit Information form and in the Standard European Consumer Credit Overview form shall be consistent. It shall be clearly legible and take into account the technical constraints of the medium on which it is displayed. Information shall be displayed in an adequate and suitable way on the different channels taking into account interoperability.
Amendment 450 #
Proposal for a directive
Article 10 – paragraph 5 – subparagraph 1
Article 10 – paragraph 5 – subparagraph 1
Any additional information which the creditor may provide to the consumer shall be given in a separate document which may be annexed to the Standard European Consumer Credit Information form or the Standard European Consumer Credit Overview form.
Amendment 459 #
Proposal for a directive
Article 10 – paragraph 7
Article 10 – paragraph 7
7. If the agreement has been concluded at the consumer's request using a means of distance communication which does not enable the information to be provided in accordance with this article, the creditor and, where applicable, the credit intermediary or the provider of crowdfunding credit services shall provide the consumer with the Standard European Consumer Credit Information form and the Standard European Consumer Credit Overview form immediately after the conclusion of the credit agreement or of the agreement for the provision of crowdfunding credit services.
Amendment 461 #
Proposal for a directive
Article 10 – paragraph 8
Article 10 – paragraph 8
8. Upon request from the consumer, the creditor and, where applicable, the credit intermediary or the provider of crowdfunding credit services shall, in addition to the Standard European Consumer Credit Information form and the Standard European Consumer Credit Overview form, provide the consumer free of charge with a copy of the draft credit agreement, or of the draft agreement for the provision of crowdfunding credit services, provided that the creditor at the time of the request is willing to proceed to the conclusion of the credit agreement or of the agreement for the provision of crowdfunding credit services with the consumer. If not regulated otherwise by national law, the provision of the credit offer shall oblige the creditor to maintain its terms and conditions for a minimum of 14 days from the date of receipt by the consumer.
Amendment 545 #
Proposal for a directive
Article 17 – paragraph 1 – subparagraph 1 (new)
Article 17 – paragraph 1 – subparagraph 1 (new)
This provision shall not apply to credit agreements concluded at point of sale to finance the purchase of a good or a service.
Amendment 546 #
Proposal for a directive
Article 17 – paragraph 1 a (new)
Article 17 – paragraph 1 a (new)
In particular, Member States shall prohibit the introduction of a new overdraft facility or overrunning agreement or the raising of the limit of an existing overdraft facility or overrunning agreement, without the consumer’s prior request or explicit agreement.
Amendment 551 #
Proposal for a directive
Article 18 – paragraph 1
Article 18 – paragraph 1
1. Member States shall require that, before concluding a credit agreement, or an agreement for the provision of crowdfunding credit services, the creditor or, where applicable, the provider of crowdfunding credit services makes a thoroughfull assessment of the consumer’s creditworthiness. That assessment shall be done in the interest of the consumer and of the creditor, to prevent irresponsible lending practices and over-indebtedness, and shall take, on the basis of what is proportionate, appropriate account of factors relevant to verifying the prospect of the consumer to meet his or her obligations under the credit agreement or the agreement for the provision of crowdfunding credit services. The obligation to assess the consumer's creditworthiness is considered fulfilled if the creditor has complied with the provisions of Directive 2013/36/EU, Regulation (EU) No 573/2013 and the EBA guidelines on the granting and monitoring of credit.
Amendment 554 #
Proposal for a directive
Article 18 – paragraph 1
Article 18 – paragraph 1
1. Member States shall require that, before concluding a credit agreement, or an agreement for the provision of crowdfunding credit services, the creditor or, where applicable, the provider of crowdfunding credit services makes a thoroughcomprehensive assessment of the consumer’s creditworthiness. That assessment shall be done in the interest of the consumer, to prevent irresponsible lending practices and over-indebtedness, and shall take appropriate account of factors relevant to verifying the prospect of the consumer to meet his or her obligations under the credit agreement or the agreement for the provision of crowdfunding credit services.
Amendment 560 #
Proposal for a directive
Article 18 – paragraph 2 – introductory part
Article 18 – paragraph 2 – introductory part
2. The assessment of creditworthiness shall be carried out on the basis of relevant and accurate information on the consumer’s income and expenses and other financial and economic circumstances which is necessary and proportionate such as evidence of income or other sources of repayment, information on financial assets and liabilities, or information on other financial commitments. The information shall be obtained from relevant internal or external sources, including the consumer and, where necessary, on the basis of a consultation of a database referred to in Article 19.
Amendment 563 #
Proposal for a directive
Article 18 – paragraph 2 – introductory part
Article 18 – paragraph 2 – introductory part
2. The assessment of creditworthiness shall be carried out on the basis of relevant and accuratextensive information on the consumer’s income and expenses and other financial and economic circumstances which is necessary and proportionate such as evidence of income or other sources of repayment, information on financial assets and liabilities, or information on other financial commitments. The information shall be obtained from relevant internal or external sources, including the consumer and, where necessary, on the basis of a consultation of a database referred to in Article 19.
Amendment 569 #
Proposal for a directive
Article 18 – paragraph 2 – subparagraph 1
Article 18 – paragraph 2 – subparagraph 1
The information obtained in accordance with this paragraph, where possible and necessary, shall be appropriately verified, where necessary through reference to independently verifiable documentation.
Amendment 571 #
Proposal for a directive
Article 18 – paragraph 2 a (new)
Article 18 – paragraph 2 a (new)
2 a. Personal data revealing racial or ethnic origin, political opinions, religious or philosophical beliefs, or trade union membership, and the processing of genetic data, biometric data for the purpose of uniquely identifying a natural person, data concerning health or data concerning a natural person's sex life or sexual orientation and data collected from social networks shall not be processed or used to perform creditworthiness assessments.
Amendment 589 #
Proposal for a directive
Article 18 – paragraph 4 – introductory part
Article 18 – paragraph 4 – introductory part
4. Member States shall ensure that the creditor or the provider of crowdfunding credit services only makes the credit available to the consumer where the result of the creditworthiness assessment indicates that the obligations resulting from the credit agreement or the agreement for the provision of crowdfunding credit services are likely towill be met in the manner required under that agreement.
Amendment 595 #
Proposal for a directive
Article 18 – paragraph 4 – subparagraph 1
Article 18 – paragraph 4 – subparagraph 1
Notwithstanding the first subparagraphs, where the result of the creditworthiness assessment indicates that the obligations resulting from the credit agreement or the agreement for the provision of crowdfunding credit services arewill not likely to be meet in the manner required under that agreement, the creditor or the provider of crowdfunding credit services may exceptionally make credit available to the consumer in specific and well justified circumstances that include cases of loans that fund exceptional healthcare expenses, students loans or loans for consumers with disabilities.
Amendment 596 #
Proposal for a directive
Article 18 – paragraph 4 – subparagraph 1 a (new)
Article 18 – paragraph 4 – subparagraph 1 a (new)
If the creditor or the provider of crowdfunding credit services make credit available to the consumer in accordance with subparagraph 1, the creditor or the provider of crowdfunding credit services shall warn the consumer in writing, on paper or on another durable medium, of a negative credit assessment that may lead to over-indebtedness. Such information must be communicated to the consumer before the conclusion of the credit agreement.
Amendment 690 #
Proposal for a directive
Article 29 – paragraph 1
Article 29 – paragraph 1
1. Member States shall ensure that the consumer is at any time entitled to early repayment. In such cases, the consumer shall be entitled to a reduction in the total cost of the credit, consisting of the interest and the costs for the remaining duration of the contract. When calculating that reduction, all the costs imposed on the consumer by the creditor shall be taken into consideration, except for the initial costs – which are completely exhausted when the loan is granted and comprise services actually provided to the consumer – and taxes. The upfront costs shall be properly identified and declared in the credit contract.
Amendment 709 #
Proposal for a directive
Article 31 – paragraph 1 – introductory part
Article 31 – paragraph 1 – introductory part
1. Member States shallmay introduce caps on one or more of the following:
Amendment 719 #
Proposal for a directive
Article 31 – paragraph 1 – subparagraph 1 (new)
Article 31 – paragraph 1 – subparagraph 1 (new)
Those caps shall be based on averages for each credit product recorded on the market by the supervisory authorities of each Member State.