§ 3-43. Changing your mind about a loan: repayment after withdrawal

This section governs the settlement when a consumer withdraws from a credit agreement. The consumer must repay what was lent, together with interest accrued up to the day of payment. This must happen without undue delay and no later than 30 calendar days after the consumer sent notice that the right of withdrawal is being used. In addition, the lender is only entitled to be covered for expenses it has paid to public authorities and cannot get back.

Agreements on additional services linked to the credit agreement are not binding on the consumer when the right of withdrawal is used. If the credit has been used to finance goods or a service, and the consumer withdraws from that agreement, separate rules apply. In that case, § 3-44 fifth and sixth subsections and § 3-45 apply so that the credit agreement lapses. Under § 3-44, another distance selling (fjernsalg) agreement linked to the service is cancelled without charge, and the service provider (tjenesteyter) must notify a third party that provides the linked service. Under § 3-45, linked agreements lapse at no cost to the consumer.

Overdraft facilities are exempt from the first to third subsections. For such agreements, the rules in §§ 3-44 and 3-45 apply instead where relevant. An example using the roles in the law: a consumer has taken out a loan and sends notice that the right of withdrawal is being used. The consumer then has 30 days from the notice to repay the loan amount with accrued interest. In addition, the lender can only demand repayment of expenses it has paid to the public authorities.

This section is part of a group. § 3-41 gives the right of withdrawal, and § 3-42 sets the deadline of 14 calendar days for giving notice. The 30-day deadline here runs from the consumer's notice. Distance selling has its own settlement rules in § 3-44.