Law of Ukraine «on consumer lending»: new standards for protection of rights of the borrowers

Abstract

The issue of legal regulation of consumer lending has been studied taking into account the provisions of the Law of Ukraine "On consumer lending" and the legislation of the European Union in the aspect of harmonization of Ukrainian legislation with the legislation of the European Union and international standards. The criteria of qualification of credit relations as consumer are established. The legal status of the participants in consumer lending relations is determined: the lender, the consumer, the credit intermediaries. The emphasis is on the information obligations of the lender to the consumer. The conditions of the consumer loan agreement are analyzed, in particular, the conditions regarding the size of the real annual interest rate and the total cost of the loan to the consumer at the date of the contract conclusion. The content of consumer rights for refusal from the consumer loan agreement and early repayment of the loan are considered. The guarantees of consumer rights protection of credit services are disclosed both before the conclusion of a consumer loan agreement and during its execution. The provisions of the legislation concerning the specificity of establishing the order of repayment of claims under a consumer loan agreement and the legal limitation of consumer liability are maintained.