Article 28-4 of the LFS is aimed at professionals whose activity consists in granting, for their own account, loans to the public. Given the increasing number of requests to take a stance regarding the interpretation of the notion of “public” and the question of when the CSSF considers that a lending activity is directed towards the public, the CSSF updated the FAQ (Part II, Question 52) in order to provide clarification and legal certainty.
In the absence of a legal definition of the term “public” in the LFS, the CSSF considers that a lending activity is not directed towards the public where:
- loans are granted to a limited circle of previously determined persons; or
- the nominal value of a loan amounts to EUR 3,000,000 at least (or the equivalent amount in another currency) and the loans are granted exclusively to professionals such as defined in Article L. 010-1. 2) of the Consumer Code.
In all other cases, the CSSF will carry out an assessment on a case-by-case basis.
Contact: [email protected]
30 November 2010 – Updated on 15 June 2021
This news item was originally published by the Commission de Surveillance du Secteur Financier (CSSF LU). For more information, please see the Source Link.