1. SMS Loan and «Free» Pica: Reality of Responsible lending in Latvia
Dr. iur.Inga Kačevska
, Tallinn

2. Plan of Presentation Overview of legal framework Case studies
Conclusions

3. Credit market in Latvia 2012
Data of Consumer Rights Protection Bureau

4. SMS Credit market in Latvia 2012
Number of Contracts
Total sum
Sum of contract
897’069
163’691’081 EUR
182,47 EUR
Data of Consumer Rights Protection Bureau

5. Initial Legal framework
Law on Consumer Right Protection (1999)
Regulations on Financial Services’ Distance Agreements (2004)
Law on Unfair Commercial Practices (2007)

6. «13 credits» case Facts Outcome:
Guidelines on Drafting Fair Consumer Crediting Agreements (2010)
Regulations on Consumer Crediting (2010)
Regulations on Special License for Consumer Loan Service Providers (2011)
Law on Out–Of–Court Debt recovery (2012)

7. «Free Pica» case Facts Outcome:
Guidelines to evaluate Creditworthiness of Solvency of Consumers (2013)
Amendments in Law on Consumer Rights Protection
Amendments to Civil Law

8. «Love in Right Moment» Case
Facts
Outcome:
Amendments to Regulations on Consumer Loans and Law on Unfair Commercial Practices
Guidelines on Fair Commercial Practice in Consumer Crediting
Draft Amendments to Law on Consumer Rights Protection

9. Conclusions

10. Thank you for your attention! www.kacevska.lv