Mortgage loan
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...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.The annual percentage rate of charge (APR) on home loans: calculation, verification and disputes
Mortgages, Credit and consumer lawThe Annual Percentage Rate, better known by its French acronym TAEG, is a key element of any mortgage offer. It represents the total cost of the loan to the borrower, expressed as an annual percentage of the amount borrowed. Understanding its composition, knowing how to check it and knowing what to do in the event of an error is essential...Assessing a borrower's creditworthiness on a home loan: lender obligations (post-2016)
Mortgages, Credit and consumer lawGranting a home loan represents a major financial commitment for both the borrower and the lending institution. Before granting finance, the bank or lending institution is required by law to make a thorough assessment of the borrower's ability to repay the loan. This is a crucial stage in preventing over-indebtedness, and is a key factor in...Pre-contractual information in mortgages: FISE and the duty to warn (post-2016)
Mortgages, Credit and consumer lawTaking out a home loan is a decisive step in a life project, committing the borrower over a long period of time. The complexity of the offers and the financial stakes involved make pre-contractual information essential. Since the major reform of 2016, resulting from the transposition of the European directive on mortgage credit (MCD),...Home loans in France: legal framework and borrower protection (post-reform 2016)
Mortgages, Credit and consumer lawBuying a property is often the investment of a lifetime. Credit is used almost systematically to bring this project to fruition. Aware of the stakes involved and the risks to individuals, French lawmakers, spurred on by European law, have considerably strengthened borrower protection, notably through the Order of 25 March...Dealing with repayment difficulties on home loans
Mortgages, Credit and consumer lawFinancial difficulties can strike anyone. An accident, redundancy or divorce can make it impossible to repay a mortgage. Fortunately, the law provides a number of mechanisms to help borrowers in difficulty. These schemes help to avoid spiralling debt and give borrowers a second chance...Renegotiation and early repayment of mortgages
Mortgages, Credit and consumer lawThe life of a mortgage is not a long, quiet river. A significant fall in market interest rates, a marked improvement in your financial situation or, on the contrary, temporary difficulties may lead you to consider amending your initial loan contract. Fortunately, the legal framework...Loan insurance: issues and developments
Mortgages, Credit and consumer lawGot your mortgage? Congratulations. But don't forget loan insurance, which is often relegated to second place during negotiations, but is nonetheless essential. It can account for a substantial proportion of the total cost of your loan, sometimes up to 30% or even more, depending on your profile and cover. Its role is...Formation of a mortgage contract
Mortgages, Credit and consumer lawBuying a property usually involves taking out a loan. This may seem like a straightforward operation, but in reality it is governed by strict rules designed to protect the borrower. The mortgage contract is not formed instantly, but follows a precise, sequenced process. Understanding these stages is essential if you are to...The professional duties of mortgage lenders and intermediaries
Mortgages, Credit and consumer lawA home loan is often the biggest financial commitment in a consumer's life. This complex operation is logically accompanied by a strict regulatory framework that imposes precise obligations on credit professionals, whether lenders or intermediaries. The aim of these rules is to protect the individual borrower and to...Advertising and information on home loans
Mortgages, Credit and consumer lawTaking out a mortgage is often the project of a lifetime. The opacity that has long characterised this sector has led the legislator, notably through the reform of home credit and your rights, to impose strict rules to protect borrowers. Advertising and pre-contractual information are at the heart of...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...Special situations when it comes to mortgages
Mortgages, Credit and consumer lawBuying a property is an important step, and one that is often financed by credit. While conventional property loans are well known, some situations are out of the ordinary and require extra vigilance. Whether it's borrowing in a foreign currency, coordinating several loans or understanding the subtleties of suspensive conditions,...
EN 
FR