Under the Law 16/2011 of 24 June of consumer credit contracts, the Spanish Ministry of Economy and Competition incorporated into the Spanish legal system the Directive 2008/48/EC of the European Parliament and of the Council of April 23, 2008 on credit contracts for consumers.
The Directive aims to increase consumer protection and ensure that consumers understand credit products, thereby assisting people to make correct decisions when requesting unsecured credit.
The European Union (EU) Member States experienced that the implementation of Directive 2008/48/EC (April 23) for consumer credits brought attention to the issues of the Directive in Part II of its Annex I. The EU Member States felt that the content contained in this Part II was insufficient to calculate annual percentage rates for consumer credit contracts. Moreover, the EU Member States felt as though the Directive no longer effectively addressed the current commercial-market situation.
Consequently, the EU Commission adopted the 2011/90/EU Directive of 14 November 2011, which introduced additional material to calculate the annual percentage rate for these types of contracts.
To incorporate this Directive 2011/90/EU of November 14, 2011 into the Spanish legal system, the Spanish Ministry of Economy and Competition has, using its authority under the fourth provision of Law 16/2011 of June 24, approved this order amending Part II of Annex I of the Directive 2008/48/EC.
Therefore, those lenders and intermediaries required to calculate annual percentage rates according to the Law 16/2011 of June 24 have two months from the entry into force of this new standard to adapt their systems, procedures, advertising, pre-contractual information, and contract models to the provisions of this order.
This article is not considered as legal advice