Information regarding the modification of the credit agreement
Without prejudice to other obligations provided for in this Directive, Member States shall ensure that prior to modifying the terms and conditions of the credit agreement, the creditor communicates on paper or another durable medium specified in the credit agreement the following information to the consumer:
(a)
a clear description of the proposed changes and, where applicable, the need for consumer consent or an explanation of the changes introduced by operation of law;
(b)
the timescale for the implementation of the changes referred to in point (a);
(c)
the means for complaint available to the consumer regarding the changes referred to in point (a);
(d)
the time period available for lodging any such complaint;
(e)
the name and address of the competent authority where that complaint may be submitted.
Changes in the borrowing rate
1. Where creditors are allowed to change borrowing rates of existing credit agreements, Member States shall require that the creditor inform the consumer of any change in the borrowing rate on paper or another durable medium specified in the credit agreement, in good time before the change enters into force.
The information referred to in the first subparagraph shall include the amount of the payments to be made after the entry into force of the new borrowing rate and, where the number or frequency of the payments changes, the particulars thereof.
2. By way of derogation from paragraph 1, the information referred to in that paragraph may be given to the consumer periodically where all of the following conditions are fulfilled:
(a)
the parties have agreed on such periodical information in the credit agreement;
(b)
the change in the borrowing rate is caused by a change in a reference rate;
(c)
the new reference rate is made publicly available in a timely manner by appropriate means;
(d)
the information concerning the new reference rate is also available:
(i)
at the premises of the creditor;
(ii)
where the creditor has a website, on that website; and
(iii)
where the creditor has a mobile application, via that mobile application.
