In a significant decision, the ECJ addressed the premature repayment of a consumer loan. According to the ECJ consumers have a right to reduce all costs of a loan agreement if they repay the loan before the initially agreed time period. Among these costs are also administrative fees or commissions, which are paid initially regardless of the time period of the loan agreement. Relevant Austrian laws (Law on consumer loans, Mortgage and Real Estate Loan Act) will therefore be amended due to this decision (ECJ C 383/18 dated 11.09.2019).
17. July 2020