Version status: Entered into force | Document consolidation status: Updated to reflect all known changes
Version date: 20 March 2014 - onwards
  Version 2 of 2    

Article 23 Foreign currency loans

1. Member States shall ensure that, where a credit agreement relates to a foreign currency loan, an appropriate regulatory framework is in place at the time the credit agreement is concluded to at least ensure that:

(a) the consumer has a right to convert the credit agreement into an alternative currency under specified conditions; or

(b) there are other arrangements in place to limit the exchange rate risk to which the consumer is exposed under the credit agreement.

2. The alternative currency referred to in point (a) of paragraph 1 shall be either:

(a) the currency in which the consumer primarily receives income or holds assets from which the credit is to be repaid, as indicated at the time the most recent creditworthiness assessment in relation to the credit agreement was made; or

(b) the currency of the Member State in which the consumer either was resident at the time the credit agreement was concluded or is currently resident.

Member States may specify whether both of the choices