A credit agreement involves two very distinct parties, the borrower and the lender. The latter agree to honor the clauses and agreements agreed in this document. Find useful documents for taking out a loan.
For this kind of agreement, it is not only the debtor who must provide supporting documents. The creditor must also communicate key information in addition to certain files to the consumer and to public bodies in Belgium. The financial sector is governed by a Financial Services and Markets Authority. Better known by the acronym FSMA, it provides consumers with essential information for procedures.
Besides, all the documents useful for a loan application are available on their site. It is strongly advised to consult these documents for a better preparation for the procedures for taking out a credit. Models will also be exhibited on the FSMA website.
An application that communicates files to public bodies
Technology contributes to facilitating human actions in their daily life. The financial market draws on this resource to encourage their exchange of information. In the procedures for taking out a loan, Belgian credit institutions must communicate certain useful documents to public bodies. These are the files on the operation of the institution in general, then the files on the models of contract for the various loans (personal, mortgage) and the other annexed files. Then a file will be devoted to the shareholding of the credit institution by exposing the details on the funds, the actions and the prospects of partnership. In other words, credit institutions in Belgium will have to provide all their operating methods (already approved) to the FSMA. This maneuver was put in place to protect lenders, but also consumers in the exchange of financial goods and services.
The borrower will benefit from…
The lender has the duty to communicate to his client all information relating to possible risks. The legislation of the financial sector in Belgium makes a point of honor on the information challenges in the subscription to a loan. The debtor must know all the important details on his credit contract as well as any changes to the offers to which he is subject. This initiative avoids the risks of fraud and financial abuse vis-à-vis consumers, and protects the creditor from unfounded accusations coming from “informed persons”.
Actors recognized by the competent authorities
All actors working in the financial sector in Belgium have the duty to communicate their information to the Belgian public authorities. In addition to credit institutions, intermediaries and brokers will have to provide files to its supervisory bodies. To exercise the profession of broker, the latter must provide supporting documents of his skills. Among others, his criminal record and his proof of seniority in the community (at least 5 years as a broker). A professional liability insurance certificate can also be provided to the FSMA. The list of documents to be provided to these authorities is not exhaustive and may vary depending on the situation.
This kind of initiative is therefore essential in order to help actors in the financial sector to maintain transparency in their actions. Modalities set up to secure the environment and ensure the proper functioning of the exchange of goods and financial services.