Charlotte GAUCHON
Distance selling of banking and financial services: specific rules and consumer protection
By Charlotte GAUCHON30 June 2025The dematerialisation of banking and financial services has profoundly transformed consumer habits. Opening an account, subscribing to a savings product or taking out a loan can now be done in just a few clicks, without ever meeting an adviser in person. However, this ease of access is accompanied by a protective legal framework designed to rebalance the relationship between the professional and the consumer. The distance marketing of these services is governed by specific rules, in addition to the more general legislation on canvassing. Understanding this specific regime is essential for any individual wishing to navigate these offers in complete safety. This article follows on from our comprehensive guide to banking and financial canvassing, focusing on the specific features of distance selling. Scope of distance selling regulations For a contract to be subject to these special regulations, a number of conditions must be met. These relate to the...
Bank account management: entry of receivables, charges, seizures and multiple accounts
Bank account, Banking and stock market lawThe relationship between customer and bank is based on the bank account, a central instrument in our economic life. Behind its apparent simplicity lies a legally sophisticated mechanism. By understanding how it works, you can better protect your rights. The entry of receivables into an account A little-known legal mechanism The entry of a receivable into an account...Control and application of banking ethics rules: who supervises the banks?
Conflicts of interest, Banking and securities lawWhen your bank charges what you consider to be excessive fees or refuses to close your account, do you know who regulates these practices? The banking sector is not a lawless area. In addition to the banker's general responsibility, there are specific mechanisms that govern the behaviour of financial institutions, ensuring that...Export credits: issues and general framework
Export credit, Credit and consumer lawhtml In a context of fierce international competition, companies that export need appropriate financial solutions. Export credits are an essential lever for conquering foreign markets. They can be used to finance international commercial operations and secure transactions. Definition and economic context Export credits...Financial vs. operational leasing - Understanding the fundamental differences
Leasing, Credit and consumer lawIn asset financing, the distinction between financial and operational leasing raises decisive legal, accounting and tax issues. This differentiation determines how transactions are treated and structures contractual relations. Contrary to the traditionally narrow French view of leasing, the European approach reveals considerable complexity. Criteria for...European regulation of cross-border financial services
Leasing, Credit and consumer lawLeasing has become an essential financing tool in the European single market. Its cross-border dimension raises complex legal issues. This article analyses the regulatory framework for financial institutions operating across national borders. Freedom to provide services in the European Banking Directive...International leasing and the Ottawa Convention
Leasing, Credit and consumer lawCross-border financing requires appropriate legal frameworks. International leasing meets this need but creates areas of legal uncertainty. The Ottawa Convention attempts to remedy this. Definition and characteristics of international leasing A leasing transaction becomes international when the parties are governed by different legal systems. The contract...The fundamental tasks of the Banque de France within the ESCB
Banking and securities lawThe Banque de France is no ordinary banking institution. As part of the European System of Central Banks (ESCB), it performs essential functions in our economy. It contributes to price stability and the smooth functioning of financial systems. Let's take a look at its four main tasks. 1. implementing the...Banking ethics rules: between soft law and legal obligations
Conflicts of interest, Banking and securities lawToday's banks are juggling with different standards. On the one hand, strict laws and regulations. On the other, ethical rules that are sometimes blurred. This grey area between obligation and recommendation is worth exploring to understand how these requirements fit together and what the implications are for customers. IntroductionThe components of the TEG: what is included and excluded
Credit and consumer law, Annual percentage rate of chargeUnderstanding the components of the Total Effective Rate (TEG) is essential for any borrower. This rate, which is used to compare the real cost of borrowing, includes much more than just interest. Certain costs are systematically included, while others are excluded. These distinctions can have significant financial and legal consequences....Informing borrowers of the TEG: legal obligations and issues
Credit and consumer law, Annual percentage rate of chargeCredit mechanisms are based on a natural imbalance between lender and borrower. The law attempts to correct this asymmetry by imposing strict obligations to provide information, particularly on the Total Effective Rate (TEG). Understanding these obligations protects your rights as a borrower and may, in certain situations, enable you to dispute charges...Penalties for errors or omissions in the TEG: developments in case law
Credit and consumer law, Annual percentage rate of chargeThe Total Effective Rate (TEG) is often at the heart of disputes between borrowers and banks. Case law has changed considerably in recent years, altering the balance between protecting borrowers and ensuring the legal certainty of loan contracts. Developments in civil penalties Historically, the courts declared the nullity of the clause...Usury in credit law: understanding and protecting yourself
Credit and consumer law, Annual percentage rate of chargeAny financial transaction can quickly fall into the trap of excessive interest rates. Alongside the TEG (Taux Effectif Global), usury constitutes a legal bulwark against abuse by lenders. But what exactly does this concept mean under French law? When does a rate become usurious? Who can claim usury? Legal definition...Penalties for loansharking: criminal and civil consequences
Credit and consumer law, Annual percentage rate of chargeFrench legislation strictly regulates the cost of credit. It protects borrowers against excessive rates by means of a comprehensive repressive system, particularly in terms of usury. A loan becomes usurious when its total effective rate (TEG) is more than one-third higher than the average rate charged by credit institutions...The Total Effective Rate (TEG): definition and calculation methods
Credit and consumer law, Annual percentage rate of chargeCredit always costs more than the banks say it will. The nominal interest rate only reflects part of the reality. Hence the existence of the Taux Effectif Global (TEG), the cornerstone of banking transparency. This indicator, often unknown to borrowers, nevertheless plays a decisive role in comparing...Understanding the legal framework for home loans
Mortgages, Credit and consumer lawA house, a flat. For most people in France, buying a property is often the project of a lifetime. It is almost always financed by taking out a bank loan. Given the financial stakes involved and the length of the commitment, the legislator has gradually put in place a series of conditions...Term loans and life insurance
Credit and consumer lawFor a long time, the combination of a bullet loan and life insurance was presented as an ideal investment strategy. On the one hand, a loan for which you only repay the interest during the term of the loan, and on the other, an investment that is supposed to generate enough return to repay the capital at maturity. On the...Consumer credit disputes: deadlines and penalties
Consumer credit, Credit and consumer lawThe legal battle between borrowers and lenders is based on specific procedural rules. Consumer credit litigation is a special field, with its own deadlines, penalties and subtleties. The Protection Litigation Judge - formerly the Court of First Instance - has exclusive jurisdiction...Interest rates and TEG: understanding the protective rules
Consumer credit, Credit and consumer law``html Have you signed a credit contract but the real cost seems opaque? Borrowers are still unfamiliar with the legal protection afforded by interest rates. However, banks must comply with specific rules on transparency and information. Transparency of interest rates: protection against abuse The...Consumer credit guarantees: protecting the guarantor
Consumer credit, Credit and consumer lawHow many people have signed a guarantee without considering all the consequences? A guarantee is often a heavy commitment for the person who accepts it. In the field of consumer credit, this guarantee gives rise to a great deal of litigation. French legislation has gradually put in place protective mechanisms...Bank overdrafts and consumer credit law
Consumer credit, Credit and consumer lawThe bank overdraft, that red line that appears on your account, may seem simple on the surface. But when does it go from being a simple cash facility to consumer credit, with all the legal protections that implies? This article untangles the legal subtleties that govern...
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