Commission hearing on responsible lending and borrowing.
03 September 2009
The topics discussed include: the advertising and marketing of credit products, pre-contractual information, advice standards, ways to assess product suitability and borrower creditworthiness, responsible borrowing, and issues relating to the framework fo
The topics discussed include: the advertising and marketing of credit products, pre-contractual information, advice standards, ways to assess product suitability and borrower creditworthiness, responsible borrowing, and issues relating to the framework for credit intermediaries and non-bank lenders .
Responsible lending, where the credit products sold are appropriate for consumers’ needs and are tailored to their ability to repay, and responsible borrowing, where consumers provide relevant, complete and accurate information on their financial conditions, are vital components in ensuring a stable and effective credit market.
Building on previous consultations and policy development in the area of retail financial services, and especially mortgage credit, this consultation seeks to strengthen and deepen the Commission services’ understanding of the remaining issues surrounding responsible lending and borrowing, and to contribute to the Commission's analysis of the varying policy options in this area. The consultation covers, amongst other things, the advertising and marketing of credit products, the pre-contractual information provided, ways to assess product suitability and borrower creditworthiness, advice standards, responsible borrowing and issues relating to the framework for credit intermediaries (e.g. disclosures, registration, licensing and supervision).
A public hearing on responsible lending and borrowing will be held on 3 September 2009 to discuss with stakeholders the most appropriate policy responses to the challenges faced by borrowers and the financial services industry, and to draw together the main conclusions from the consultation.
© European Commission
