3.21 Article 35(3) and (4) of CCD2

Unique Reference Number: 
DFIN-C8-3
Status: 
Submitted
Author: 
BPFI

3.21 Article 35(3) and (4) of CCD2

Yes. If a customer has defaulted on their repayments and a financial services provider needs to enforce its rights e.g., issue legal proceedings, it should be permitted that the provider can recoup any costs it incurs in relation to such enforcement e.g., legal costs incurred. As long as those costs are reasonable and no higher than necessary, we believe there should be no cap on them. Article 35 (3) refers.