Section 2: Credit consolidation

The threshold mentioned in article L. 314-11 is reached when the proportion of home loans mentioned in article L. 313-1, represents 60% of the total amount of the credit consolidation transaction. The amount of the home loans includes all costs, interest, commissions, taxes, penalties and other charges that the borrower is required to pay to repay these loans. These costs are included in the amount of the property loans only…

Where the purpose of the credit transaction is to repay at least two previous debts, including an outstanding credit, the creditor or credit intermediary shall, after dialogue with the borrower, draw up a document and provide it to the borrower in order to ensure that the borrower is properly informed, pursuant to Articles L. 314-10 to L. 314-13. The lender or intermediary responds to any request from the borrower for…

The information document shall be drawn up on a durable medium. It shall include, presented in a clear and legible manner in characters no smaller than the height of the size eight, the following information and particulars:1° For each credit agreement being considered for consolidation, information relating to that agreement and the terms and conditions of its repayment:a) The nature of the credit, the amount of the instalments, the amount…

In order to draw up the disclosure document on the basis of accurate information, the lender or intermediary shall ask the borrower to provide the documents, in particular the contractual documents, provided by the original lenders or any other creditor for each loan or receivable being considered for consolidation. If the borrower does not have these documents, the lender or intermediary asks the borrower to request the necessary information from…