OREANDA-NEWS.  October 14, 2014. On 06.10.2014, FAS and the Bank of Russia abolished a joint letter of the Federal Antimonopoly Service (FAS Russia) (No. IA/7235) and the Central Bank of the Russian Federation (No.77-T) “On Recommendations on Information Disclosure Standards when Providing Consumer Loans” of 26.05.2005.

The Recommendations were drafted to protect the rights of potential borrowers for obtaining complete information from banks necessary for making a decision на obtaining consumer credits: information about the conditions of granting, using and repaying loans.

The grounds for devising the Recommendations became one of the cases on violating the antimonopoly law under the framework of which the issue of the banks’ failure to provide the above information to the borrowers prior to concluding agreements was exposed.

However, on 01.07.2014 the Federal Law “On Consumer Credit (Loan)” came into force. FAS also was actively involved in drafting it, particularly, through a special Working Group comprising representatives of the interested authorities as well as participants of the market of banking services.

Practically all FAS comments and proposals, aimed at fair competition of creditors (lenders) on the market of consumer loans as well as protecting borrowers’ rights for obtaining complete and reliable information on consumer qualities and characteristics of loans, were taken into account drafting the law.

Since the rules outlined in the Recommendations are included in the Federal Law “On Consumer Credit (Loan)” practically in full, FAS and the Bank of Russia made a decision to abolish the Recommendations.