Credit and consumer law
Over-indebtedness and mortgages: specific debt relief and cancellation measures
By Charlotte GAUCHON25 June 2025Taking out a mortgage is a decisive step in the life of an individual or an entrepreneur. However, the ups and downs of life can turn this project into a financial burden, leading to over-indebtedness. Far from being inevitable, over-indebtedness linked to a property loan is governed by precise legal provisions, offering solutions for dealing with difficulties in repaying property loans. These mechanisms, which are often little-known, are designed to protect debtors and enable them to get back on a sound footing. Understanding the legal framework for over-indebtedness and its legal solutions is therefore essential. Assistance from a lawyer who is an expert in mortgage law ensures that all of these protections are properly implemented. The over-indebtedness situation of property credit consumers The over-indebtedness procedure is not open to everyone and meets a strict definition. It is designed to...
Indemnity for early repayment (ira) on a mortgage loan: legal regime and disputes
Mortgages, Credit and consumer lawEarly repayment of a mortgage is an important step in a borrower's financial life, often prompted by an unexpected influx of cash, the purchase of a loan on more favourable terms or the sale of the property being financed. While this is a consumer's right, it is not a legal right.Home loan renegotiation and consolidation: understanding the legal issues
Mortgages, Credit and consumer lawManaging a mortgage, a major financial commitment for most households and businesses, can change. Whether to take advantage of falling interest rates or to overcome financial difficulties, borrowers have two main options: renegotiation and consolidation. These...Interdependence of mortgage loan and financed contract: the resolutory condition
Mortgages, Credit and consumer lawIn the borrower's mind, buying a property and taking out a loan to finance it are two sides of the same coin. However, in law, these two contracts could have separate fates. Aware of this risk, the legislator has created a strong legal link between the mortgage contract and the loan....Failure to obtain a home loan: repayment of sums paid and penalties
Mortgages, Credit and consumer lawThe purchase of a property is often conditional on obtaining finance. French law has introduced a major protective mechanism for non-professional buyers: the condition precedent that the property loan must be obtained. This clause, incorporated into the promise to sell, renders the contract null and void if the loan is not granted. This is a...Condition precedent for obtaining a property loan: issues and case law
Mortgages, Credit and consumer lawBuying a property is a decisive step, financed in the vast majority of cases by a loan. To protect the non-professional buyer, the legislator has introduced an essential security mechanism: the condition precedent that the loan must be obtained. This provision links the validity of the sale to the granting of finance...Definitions and scope of mortgage credit: the legal guide
Mortgages, Credit and consumer lawMortgages are at the heart of most of life's projects, whether it's the purchase of a primary residence or a rental investment. However, the legal framework surrounding it is so dense and complex that borrowers are often surprised. Far from being a simple loan contract, it is...Obligation to debt and contribution to debt: keys to understanding matrimonial liabilities
Credit and consumer lawThe management of debts within a couple married under the regime of legal community is a frequent source of questions and tensions, particularly in the event of separation. When a loan is taken out, who has to pay it back? And from which assets can the creditor, such as a bank, claim payment?Repayment of credit: the specificities of the systems of separation of property and universal community property
Credit and consumer lawChoosing a matrimonial property regime is a decisive step in a couple's life, with implications that go far beyond the possibility of divorce. Debt management, and in particular the repayment of loans taken out by either spouse, is directly affected by this initial choice. If you...Joint accounts and seizures: what are the risks for repaying your loans as a couple?
Credit and consumer lawFor many couples, opening a joint account is a practical way of managing day-to-day expenses. However, this ease of management can turn into a source of major legal risks when one of the joint account holders incurs a personal debt. The seizure of this account by a creditor raises a number of...Credit and community reduced to acquests: mastering article 1415 of the Civil Code
Credit and consumer lawWhen a couple is legally married, the taking out of a loan by only one of the spouses raises a fundamental question: what assets can be seized by the bank in the event of default? The answer is far from simple, and involves the joint, or even personal, assets of each spouse....Article 220 of the Civil Code: joint and several liability of spouses and repayment of household debts
Credit and consumer lawMarriage has legal consequences that often go beyond the personal sphere, particularly in financial terms. When a couple have difficulty honouring their commitments, the question of each person's responsibility for debts, and more particularly for loans, quickly becomes a source of concern...Cohabitation and civil union: understanding your credit repayment obligations
Credit and consumer lawThe legal status of a couple, whether they are cohabiting or in a civil solidarity pact (PACS), has a direct impact on their financial obligations, particularly when it comes to repaying credit. Contrary to popular belief, these two forms of union are not treated in the same way by the...Repayment of consumer credit between couples: a comprehensive legal guide
Credit and consumer lawTaking out a loan as a couple is a common practice, whether to finance a property project, buy a car or simply manage day-to-day expenses. However, behind this harmless act lies a legal complexity that is often misunderstood. The rules that determine who must repay the debt vary...Variable-rate loans and foreign currency loans: legal risks and borrower protection
Credit and consumer lawVariable-rate loans and foreign currency loans are often appealing because of their attractive initial terms. However, these financial instruments conceal complexities and risks that can turn a financing project into a financial trap. Their structure, which indexes the cost of borrowing on factors...Lombard year, anatocism and value dates: deciphering banking practices and their implications
Credit and consumer lawA bank loan contract is rarely a smooth ride. Behind the main clauses sometimes lie complex calculation mechanisms, the impact of which on the total cost of credit is often underestimated by the borrower. Anatocism, value dates, lombard year: these technical terms refer to banking practices that are sometimes...Loansharking: legal definition, rate calculation and criminal and civil penalties
Credit and consumer law, UsuryThe loan contract is a common act in the lives of individuals and businesses, but its remuneration is strictly regulated. Among the safeguards established by law, the prohibition of usurious lending is one of the oldest and most important. This is essential protection for borrowers,...TEG and TAEG: calculation, mandatory disclosure and penalties for rate errors
Credit and consumer law, Annual percentage rate of chargeThe Taux Effectif Global (TEG), and its equivalent for consumer credit, the Taux Annuel Effectif Global (TAEG), represent much more than just a percentage on a loan contract. It is the key indicator of the real cost of your financing, a central concept in the remuneration of the lender.Lender remuneration: interest rates, TEG and usury in banking and finance law
Credit and consumer lawTaking out a loan is a frequent stage in the life of a business or an individual. But every loan has a cost: the lender's remuneration. Far from being left to the discretion of the banks, this remuneration is governed by a complex set of legal rules designed to ensure that the lender's...Home loans taken out before 1 July 2016: which legal regime still applies?
Mortgages, Credit and consumer lawOrder no. 2016-351 of 25 March 2016 radically changed the legal landscape for home loans in France, transposing European Directive 2014/17/EU. Essentially coming into force on 1 July 2016, this reform strengthened the protection of borrowers, particularly in terms of pre-contractual information and assessment of solvency....Defaults by mortgage lenders (Post-2016): what penalties?
Mortgages, Credit and consumer lawBuying a property is often the investment of a lifetime. In most cases, taking out a mortgage is an essential step in the process. Given the importance of this commitment, the French legislator, particularly since Order no. 2016-351 of 25 March 2016 transposing a European directive, has strengthened the protection of creditors.
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