Article 9: General Requirements

Finance providers must consider the following while calculating the APR: The periods between the date on which the amount of finance or the first payment is available to the borrower and the date of each payment received or payable by the borrower shall be calculated on the basis of 365 days a year. The APR shall be calculated on the assumption that the amount of finance is valid for the term agreed upon and the parties’ adherence to their obligations according to the conditions stipulated in the financing agreement. The APR must be calculated and expressed in percentage points with a minimum of two basis points, rounding half basis points to the nearest full basis points. In case the finance agreement contains a clause allowing variations in term cost and fees contained in the APR (e.g. floating) which is not quantifiable at the time of financing, the APR must be calculated on the assumption that the term cost and other charges remain fixed in relation to the initial term cost applied and will remain applicable until the end of the financing agreement.