CHAPTER II

INFORMATION AND PRACTICES PRELIMINARY TO THE CONCLUSION OF THE CREDIT AGREEMENT

Standard information to be included in advertising
Article 4
1
Any advertising concerning credit agreements which indicates an interest rate or any figures relating to the cost of the credit to the consumer shall include standard information in accordance with this Article.
This obligation shall not apply where national legislation requires the indication of the annual percentage rate of charge in advertising concerning credit agreements which does not indicate an interest rate or any figures relating to any cost of credit to the consumer within the meaning of the first subparagraph.
2
The standard information shall specify in a clear, concise and prominent way by means of a representative example:
a
the borrowing rate, fixed or variable or both, together with particulars of any charges included in the total cost of the credit to the consumer;
b
the total amount of credit;
c
the annual percentage rate of charge; in the case of a credit agreement of the kind referred to in Article 2(3), Member States may decide that the annual percentage rate of charge need not be provided;
d
if applicable, the duration of the credit agreement;
e
in the case of a credit in the form of deferred payment for a specific good or service, the cash price and the amount of any advance payment; and
f
if applicable, the total amount payable by the consumer and the amount of the instalments.
3
Where the conclusion of a contract regarding an ancillary service relating to the credit agreement, in particular insurance, is compulsory in order to obtain the credit or to obtain it on the terms and conditions marketed, and the cost of that service cannot be determined in advance, the obligation to enter into that contract shall also be stated in a clear, concise and prominent way, together with the annual percentage rate of charge.
4
This Article shall be without prejudice to Directive 2005/29/EC.