S.L. 378.12 Art. 7Content of pre- contractual information. S.L. 330.07. S.L. 330.07.

(1) The information to be disclosed by a creditor or credit intermediary to consumers under regulation 6(1), other than consumers whose credit agreement is regulated by regulations 8 and 9, shall specify:

(a) the type of credit to be provided under the agreement;

(b) the identity and geographical address of the creditor and, where applicable, of the credit intermediary;

(c) the total amount of credit to be provided under the agreement and the conditions governing the drawdown of credit;

(d) the duration of the credit agreement;

(e) in the case of credit in the form of deferred payment for specific goods or services or linked-credit agreements, the goods, services and the cash price thereof;

(f) the borrowing rate, the conditions governing the application of that rate and, where available, any index or reference rate applicable to the initial borrowing rate, as well as the periods, conditions, and procedures for changing the borrowing rate; and if different rates apply in different circumstances, the above information shall be supplied in respect of all the applicable rates;

(g) the annual percentage rate of charge and the total amount payable by the consumer illustrated by means of a representative example mentioning all the assumptions used in order to calculate that rate. Where the consumer has informed the creditor of one or more components of his preferred credit, such as the duration of the credit agreement and the total amount of credit, the creditor shall take those components into account; if a credit agreement provides different ways of drawdown with different charges or borrowing rates and the creditor uses the assumptions set out in point

(b) of Part II of the Third Schedule, he shall indicate that other drawdown mechanisms for this type of credit agreement may result in higher annual percentage rates of charge;

(h) the amount, number and frequency of payments to be made by the consumer and where appropriate, the order in which payments will be allocated to different outstanding balances charged at different borrowing rates for the purpose of reimbursement;

(i) where applicable, the charges for maintaining one or several accounts recording both payment transactions and drawdowns, unless the opening of an account is optional, and the charges for using a means of payment for both payment transactions and drawdowns;

(j) where applicable, any other charges deriving from a credit agreement and the conditions under which those charges may be changed;

(k) where applicable, a statement that fees will be payable by the consumer to a notary public on conclusion of the credit agreement;

(l) the obligation, if any, to enter into a contract for ancillary services relating to the consumer credit agreement, in particular insurance services, where the conclusion of such a contract is compulsory in order to obtain the credit or to obtain it on the terms and conditions marketed;

(m) the interest rate applicable in the case of late payments and the arrangements for its adjustment, and where applicable, any charges payable for default;

(n) a warning relating to the consequences of missing payments;

(o) where applicable, the sureties which need to be identified by the consumer;

(p) in the case of a credit agreement under which payments made by a consumer do not give rise to an immediate corresponding amortisation of the total amount of credit, but are used to constitute capital during periods and under conditions laid down in the credit agreement or in an ancillary agreement, a clear and concise statement that such credit agreements do not provide for a guarantee of repayment of the total amount of credit drawn down under the credit agreement unless such a guarantee is given;

(q) the existence or absence of a right of withdrawal;

(r) the consumer’s right of early repayment, and where applicable the creditor’s right to compensation and the way in which compensation is to be determined in accordance with regulation 16;

(s) the consumer’s right to be informed immediately and free of charge pursuant to regulation 20(2) of the result of a database consultation carried out for the purposes of assessing credit worthiness;

(t) if applicable, the period of time during which the creditor is bound by the pre-contractual information; and

(u) the consumer’s right to be supplied, on request and free of charge from the creditor with a copy of the draft credit agreement. This provision shall not apply if the creditor is at the time of the request unwilling to proceed to the conclusion of the credit agreement with the consumer.

(2) The information under sub-regulation (1) shall be provided by means of the form contained in the First Schedule: Provided that the creditor shall be deemed to have discharged the obligation of providing information under this regulation and of providing information under regulations 5(1) and

(2) of the Distance Selling (Retail Financial Services) Regulations, if the creditor has supplied the information in the form contained in the First Schedule.

(3) Should the creditor provide to the consumer additional information to that identified under sub-regulation (1), a separate document shall be provided for this purpose, and shall be annexed to the one under sub-regulation (2).

(4) In the case of voice telephony communications as referred to in regulation 5(3) of the Distance Selling (Retail Financial Services) Regulations, the description of the main characteristics of the financial services to be provided pursuant to the second indent of the proviso to regulation 5(5) of those Regulations shall specify, at least:

(a) the total amount of credit and the conditions governing the drawdown;

(b) the duration of the credit agreement;

(c) the goods, services and the cash price in the case of credit in the form of deferred payment for specific goods or services or linked credit agreements;

(d) the borrowing rate, the conditions governing the application of that rate and, where available, any index or reference rate applicable to the initial borrowing rate, as well as the periods, conditions, and procedure for changing the borrowing rate; and if different rates apply in different circumstances, the above information shall be supplied in respect of all the applicable rates;

(e) the amount, number and frequency of payments to be made by the consumer and where appropriate, the order in which payments will be allocated to different outstanding balances charged at different borrowing rates for the purpose of reimbursement;

(f) the annual percentage rate of charge illustrated by means of a representative example; and

(g) the total amount payable by the consumer.

(5) 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 sub-regulation (1), in particular in the case referred to in sub-regulation (4), the creditor shall provide the consumer with the full pre-contractual information, using the form under the First Schedule, immediately after the conclusion of the credit agreement.