Regulatory Alerts2021-06-02
Added · Updated
Instruction No. 8/2021
The Bank of Portugal establishes maximum interest rate ceilings for consumer credit contracts concluded in the third quarter of 2021, effective July 1, 2021. The instruction sets specific maximum Effective Annual Percentage Rates (APR) for categories including personal credit, education, health, renewable energy, equipment leasing, and credit cards, as well as a maximum nominal rate for credit overdrafts. Financial institutions must ensure that the charges applied to these contracts do not exceed the published limits, although the freedom to negotiate other financing conditions remains intact.
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