Two out of every three Europeans use credit to buy furniture, a washing machine or a car - yet there is a very limited market in cross border consumer credit. "I can understand why people are slow to look for credit facilities in other countries even though they might actually receive better terms. People are rightly concerned about the small print in any agreement so most people won't take the risk" - said Marian Harkin following a vote on the Consumer Credit Directive in the European Parliament.

"Today the Parliament has made it easier for consumers to access cross-border credit facilities by laying down regulations on the information that must be given to consumers. There will now be a 'Standard European Consumer Credit Information' form available in all EU countries giving basic information regarding the total amount of credit, the annual percentage rate of charge, the length of agreement, any additional costs etc. This will give the consumer the information she/he needs to make a decision. Also there will be a cooling off period during which the consumer can withdraw from the credit agreement. It is important to note that this does not cover mortgages only credit contracts on which interest is paid. After seven years work on this Directive I think the Parliament has come up with an acceptable piece of legislation that will be of benefit to European consumers" Marian Harkin concluded.