In light of the proposed amendments to the Law on Financial Consumer Protection, Bojan Terzić, Director of the Financial Consumer Protection Sector at the National Bank of Serbia (NBS) and Chairman of the Board of the Association for Banking Law, shared his insights in an interview with Euronews Serbia. The new proposal introduces significant changes aimed at impacting the credit market and ensuring greater protection for financial product consumers.
Key Changes in the Law:
1. Interest Rate Caps for Housing Loans:
- A cap of 5% will be introduced for housing loans with fixed and variable interest rates.
- This measure will remain in effect until the end of 2025, aiming to stabilize the market amidst global economic uncertainties.
2. Gradual Transition to Market-Based Interest Rates:
- The law envisions a gradual adjustment to balance consumer protection with market dynamics.
- This will also extend to products such as credit cards and overdraft facilities.
3. “Cooling-Off Period” for Loans:
- An obligatory minimum two-day “cooling-off period” will be introduced for making credit decisions.
- This measure is designed to increase transparency and enable consumers to make informed choices.
Significance of the Changes for Consumers
The proposed legal amendments represent a significant step in enhancing the protection of financial service consumers. Interest rate caps and the introduction of a “cooling-off period” ensure that citizens have sufficient time and information to make financial decisions. This is particularly crucial given the growing complexity of financial products and services.
Learn More
For more details about the proposed law and Bojan Terzić’s statement, visit the Euronews Serbia article:
The NBS Published the Draft Proposal of the New Law on Financial Consumer Protection
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