On 9 April 2009, the Netherlands Authority for the Financial Markets (AFM) imposed an administrative fine of € 6,000 on Klaassen & Retz B.V. This fine was imposed because Klaassen & Retz B.V. published a cost of credit percentage, in commercial publications in June 2007 and March 2008, without including the additional information as required by law. Klaassen & Retz B.V. is a financial services agency with offices in Heerhugowaard, Bovenkarspel and Den Helder.
In addition to the cost of credit percentage, Klaassen & Retz B.V. should also have provided additional information on the monthly fixed costs, the credit sum or credit limit applied in the calculation, the term or theoretical term of duration applied in the calculation and the total price of the credit applied in the calculation. If the cost of credit percentage provided was not the effective cost of credit percentage, this effective cost of credit percentage should also have been provided. These details should have been provided in a table. In addition, the commercial publications do not make it clear whether or not this information concerns a revolving credit.
The above means that Klaassen & Retz B.V. violated Section 53, first, fourth and eighth subsection of the Decree on the Supervision of the Conduct of Financial Enterprises pursuant to the Act on Financial Supervision. This Decree obliges financial undertakings to provide the aforementioned additional information if they provide information on the cost of credit amount in commercial publications concerning credit. The intention is to provide consumers, as early as during the acquisition phase, with an accurate picture of the product. This means that consumers will be able to compare the offers of various financial undertakings and to choose the most favourable offer.
Interested parties can submit the AFM's decision to the courts for review.
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