Charlotte GAUCHON
Credit institution law: a comprehensive guide to banking institutions in France
By Charlotte GAUCHON30 June 2025The French banking and financial sector is characterised by a dense ecosystem and rigorous regulation. For businesses and individuals alike, understanding who is authorised to provide banking services is an essential prerequisite. The term "credit institution" covers a wide range of situations, shaped by history, national law and European directives. The aim of this article is to provide a clear overview of the various institutions that make up the banking landscape, their missions and the framework that governs their activities. This is a high-level summary, and each point can be explored in greater depth in the dedicated articles. If you have any questions about our expertise in banking and finance law, please do not hesitate to contact us. What is a credit institution? Definition and changes in the legal framework The unitary definition in the Monetary and Financial Code The legal definition of a credit institution is given by the...
Private loans: analysis and advice from a lawyer
Credit and consumer law, Personal loansPrivate-to-private loans are becoming increasingly popular. Its popularity is leading many operators to present it as a quick and easy solution. Here's our advice.What is factoring? Definition, limits, disputes
Factoring, Banking and stock exchange lawFactoring is a popular financial solution for companies faced with long payment terms. This complex legal mechanism combines short-term financing, a guarantee against non-payment and accounts receivable management. Its implementation requires a precise understanding of its legal and financial implications. Understanding factoring...The benefits of consumer credit
Credit and consumer lawErrors made by the consumer credit organisation are often punished by forfeiture of the right to contractual interest. The contractual interest is then replaced by interest calculated at the legal rate. Problem: the rise in the key ECB interest rates has resulted in a rise in the interest rate...Early repayment indemnities - concept, calculation
Credit and consumer lawThe borrower can always decide to repay a loan early. In return, they may be required to pay so-called "early repayment charges".Understanding lump-sum compensation (or compensation payable immediately)
Credit and consumer lawIn just a few minutes, we'll take a look at a banking law concept: the lump-sum indemnity or indemnity for immediate payment The lump-sum indemnity: a contractually agreed penalty Background: A bank may decide to accelerate a loan and demand immediate payment of the sums borrowed (see our article on accelerating loans) because of a lack of funds....What is a forfeiture of term?
Credit and consumer lawIf the borrower loses the term of the loan contract, he or she must immediately repay the funds lent.What happens to the interest debt on a loan after judgment?
Guarantees, securities and enforcement lawThere are plenty of securitisation bodies and other debt collection agencies practising seizures in an attempt to obtain payment of interest that is in fact time-barred. While the creditor has ten years to recover the sums owed in respect of the capital borrowed from the date of the consumer's conviction,...What is the outstanding capital?
Credit and consumer lawIn just a few minutes, your banking lawyer can help you understand a key concept in banking litigation: the outstanding capital. The concept of outstanding capital When a bank grants credit to a borrower, the financing project is actually made up of three elements: To understand...Admissibility of a case of overindebtedness
Credit and consumer law, Over-indebtednessThe admissibility of an overindebtedness application is governed by certain criteria. However, there are also situations that do not qualify for overindebtedness. Criteria for admissibility of over-indebtedness applications For an overall understanding of over-indebtedness, it is advisable to refer to article L. 711-1 of the French Consumer Code,...ABUSIVE CLAUSES & ENFORCEMENT: what if it wasn't all over?
Law of guarantees, securities and enforcement measures, Attachment of assetsYou are the victim(s) of a seizure of your property on the basis of a loan contract that may contain unfair terms but you have not had the opportunity to raise the matter beforehand: nothing is lost. Come and see us now! THE CONTEXT: A seizure based on an unfair clause...Proof of service of an order for payment
Injonction de payer, Civil procedureThe primary aim of the order for payment procedure is to surprise. First we condemn, then we discuss. Eventually. In many cases, the discussion does not begin until an enforcement order is issued, such as a summons to pay for the purposes of seizure and sale. That's when the element of surprise really kicks in...Property seizure appeal: is it too late to defend yourself?
Appeal, Law of guarantees, securities and enforcement measures, Seizure of propertyTo avoid having your property seized, you need to fight hard at first instance. By the time you appeal, it's too late. I. It's at first instance that it all comes down to it! Property seizure is a complex matter, and requires the involvement of competent professionals to understand the specifics and offer you the best...Attachment and assignment of debt
Law of guarantees, securities and enforcement measures, Attachment of assetsThey are called securitisation mutual funds. You've never heard of them in your contractual relationship with the bank that financed your old consumer credit, yet you've just had your bank accounts seized. On reading the writ of attachment,...
EN 
FR