EU mulls update for mortgage credit directive
Mortgage - Image by Tumisu on Pixabay
(BRUSSELS) - The European Commission launched a public consultation on the Mortgage Credit Directive review Monday, seeking views on the functioning of and possible improvements to the existing framework.
The review aims to assess whether current rules are adapted to new challenges, in particular digitalisation, the need to enhance sustainability, and the COVID-19 crisis. It also seeks to ensure that existing rules continue to guarantee a high level of consumer protection, further the aims of the single market, and contribute to financial stability.
"Taking out a mortgage is a major decision in life and I want to make sure that consumers are sufficiently informed and protected when taking this step," said Financial Services Commissioner Mairead McGuinness: "Today's public consultation will look at possible barriers to the cross-border provision of mortgages and whether our rules remain fit for purpose in light of new developments such as digitalisation and sustainable finance."
The public consultation will gather input from various stakeholders (public authorities, consumers, industry associations, mortgage providers, etc.).
Given the consumer protection angle of the public consultation, it will be made available in all EU official languages. The public consultation in English will run for 14 weeks.
The other EU official languages will be available in 4 weeks' time.