Section 9: Earmarked credit

The affected credit agreements referred to in 11° of Article L. 311-1 are subject to the provisions of this section.

Whenever payment of the price is made, in whole or in part, using credit, the contract of sale or provision of services shall specify this, regardless of the identity of the lender.

No commitment may validly be entered into by the buyer with regard to the seller until the seller has accepted the credit agreement. Where this condition is not met, the seller may not receive any payment, in any form whatsoever, or any deposit.

As long as the lender has not notified the seller of the granting of credit, and as long as the borrower can exercise his right of withdrawal, the seller is not obliged to fulfil his obligation to deliver or supply. However, where the purchaser expressly requests the immediate delivery or supply of the goods or services, in writing, dated and signed by the purchaser, the withdrawal period available to the…

The borrower’s obligations do not take effect until delivery of the goods or provision of the service.In the case of a contract of sale or provision of services with successive performance, the obligations take effect from the start of delivery or provision and cease if delivery or provision is interrupted.

The seller or service provider shall keep a copy of the credit agreement and present it to the control officers at their request.

The seller or service provider may not receive any payment from the purchaser in any form whatsoever, nor any deposit, in addition to the part of the price that the purchaser has agreed to pay in cash, until the contract relating to the credit transaction has been definitively concluded. If a direct debit authorisation is signed by the purchaser, its validity and effect are subject to that of the contract…

In the case of door-to-door sales or canvassing, the withdrawal period is fourteen completed calendar days, regardless of the date of delivery or supply of the goods or services. No cash payment may be made before the expiry of this period.

The contract of sale or provision of services is automatically terminated, without compensation: 1° If the creditor has not, within seven days of acceptance of the credit agreement by the borrower, informed the seller of the granting of the credit; 2° Or if the borrower has exercised his right of withdrawal within the period provided for in Article L. 312-19.

In cases where the contract of sale or provision of services provided for in article L. 312-52, the seller or service provider shall reimburse, on simple request, any sum that the buyer may have paid in advance of the price.