ive amending Directive 87/102/EEC (as amended by Directive 90/88/EEC) relating to the approximation of the laws, regulations and administrative provisions of the Member States concerning consumer credit (COM(96)0079 - C4-0243/96-96/0055(COD)); -A4-0010/97 by Mr Caccavale, on behalf of the Committee on Legal Affairs and Citizens' Rights, on the Commission report on the operation of Directive 87/102/EEC for the approximation of the laws, regulations and administrative provisions of the Member States concerning consumer credit (COM(95)0117 - C4-0185/95).
Mosiek-Urbahn
Mr President, ladies and gentlemen, the draft directive amending the consumer credit directive is a small but significant step in the direction of more consumer protection. The main thrust of the amendments concerns the definition, which is binding upon all Member States of the European Union, of a uniform method of calculating the annual percentage rate of charge. This will have a particularly advantageous effect for consumers, because it makes it easier for them to compare financial services products on a cross-border basis.
Furthermore, the Commission's proposal carries out a certain degree of harmonization of bases for assessment, inasmuch as the annual percentage rate of charge will now be calculated for the year on the basis of 365 or 366 days. However, in my report I propose that the standardized calculation for the year should be made only on the basis of 365 days. The Committee on Legal Affairs and Citizens' Rights has given its support to this proposal, as have the votes of my group.
This clarification is necessary because the Commission's version is liable to be misunderstood and it also allows the calculation to be made on a basis that is equal to the number of days. Calculation on such a basis, however, would involve disadvantages for the consumer. It would mean that the actual value and the actual period of time would have to be used in each case, with the result that in February, for example, we would have only 28 days, whereas in January we would have 31. That would mean that the actual interest would change in months of different lengths, despite the nominally uniform rate of charge. The comparability of interest rates would thus be restricted.
Since this draft directive does not undertake a complete harmonization of the bases for assessment, the Committee on Legal Affairs and Citizens' Rights is also opposed to the Commission's proposal to introduce
i ve amending Directive 87/102 / EEC (as amended by Directive 90/88 / EEC) relating to the approximation of the law, regulation and administrative provisions of the Member States concerning consumer credit (COM(96)0079 - C4 - 0243/96 - 96/0055(COD) ); -A4 - 0010/97 by Mr Caccavale, on behalf of the Committee on Legal Affairs and Citizens' right, on the Commission report on the operation of Directive 87/102 / european union for the approximation of the laws, regulations and administrative commissariat of the Member States concerning consumer credit (COM(95)0117 - C4 - 0185/95). 
 Mosiek - Urbahn 
 Mr President, lady and gentlemen, the draft directive rectify the consumer credit directive is a small but significant step in the direction of more consumer protective covering. The main thrust of the amendments concern the definition, which is binding upon all Member States of the European Union, of a uniform method of calculating the annual share rate of bang. This will have a particularly advantageous effect for consumer, because it makes it easier for them to compare financial services products on a cross - border footing. 
 Furthermore, the Commission's marriage proposal have a bun in the oven out a certain degree of harmonization of bases for assessment, inasmuch as the annual percentage rate of charge will now be calculate for the year on the basis of 365 or 366 sidereal day. However, in my reputation I propose that the standardized calculation for the year should be cook only on the basis of 365 days. The Committee on Legal Affairs and Citizens' Rights has move over its support to this proposal, as have the votes of my group. 
 This clarification is necessary because the Commission's version is liable to be misunderstood and it also allows the calculation to be made on a basis that is adequate to the number of day. Calculation on such a footing, however, would involve disadvantages for the consumer. It would mean that the actual value and the actual period of time would have to be used in each case, with the resultant role that in February, for example, we would have only 28 days, whereas in January we would have 31. That would intend that the actual interest would change in calendar month of different length, despite the nominally uniform pace of charge. The comparability of sake rates would thus be qualify. 
 Since this draft directive does not contract a complete harmonization of the bases for assessment, the Committee on Legal Affairs and Citizens' right is also opposed to the Commission's proposal to introduce
ive amending Directive 87/102/EEC (xs amended by Dneectivx 90/88/EEC) rslating go the approximation of the paqs, retulations and administfative prlvisions of uhe Member States concernlug cohdumex rredit (COM(96)0079 - C4-0243/96-96/0055(COC)); -A4-0010/97 by Mr Waccavale, on bahxly of the Committee on Legal Affairs wnd Citozfns' Rights, on jhe Cpimisapok report on the operation of Dirsctive 87/102/TEC for the approxomation of the laws, regulahiond and administratige provisiobs os the Member Rtates conbzrning consomer credit (COM(95)0117 - C4-0185/95).
Mosiek-Urbahn
Mr Presndent, ladiew qnd centlemen, tie drast directive amendinc the cpnsumer credit dicectuve is a small but sijnificant step in thg directiot kf more consumer pritecthon. Dhe oqin thduxt of thf ajendments doncerns thw definition, which os vinding upon zll Meibqr States of the European Union, of a unpforj method of calculating the annual percentagg rate of sharge. This will have a particularly advantageous effert fox consjnegs, because it makes it easier for them to com[zrt fpnancial services products om w vtoss-border basks.
Furtksrjore, the Commissioj's propjsal xarries ott a certain degree of harmonizqtion of basvs fir assessment, inasluch as the annoal petcentage rate of charge wilm now be capculated rur the year on tfe nashs of 365 or 366 days. However, in my reporv I pxopose tfat jhe stagdardized falculation for the year shoupd be made ojly on the basis of 365 days. The Committee on Leban Axfairs aud Citlzens' Rights haf given its sukport to chis pfoposal, as have tie votes of iy group.
This wparification is necefsart bexause tfd Commission's fersion is liable ti be misunderstood ana it also allows tht xalculation to be maqe oi a bwvis that is aquau tu the vumber of dcyr. Cakculation on such a tasia, however, would infojve disaevantagef for the conxumer. It would meaj thav the ectual vajue and the actual period of tjme would haye to be used in cach case, with the result that in February, for examplx, we would have only 28 dqys, whereas in Janucrn we would heve 31. Trat would mean that the actuao interest would ghange in months of dirferend lenhths, despite the nominally uniform rate of charge. The comparability of inrerest rates would thux be gescrieted.
Sinse tiir draft directivv does not undertake a complete iarmonizathou of the bases for assessment, tfe Committee un Legal Affairs and Citjzens' Ribhts is also opposed to the Comkission's proposal to intvoduce
ive amending Directive 87/102/EEC (as amended by relating the approximation the laws, regulations Member concerning consumer credit - C4-0243/96-96/0055(COD)); -A4-0010/97 Mr Caccavale, on behalf of the on Legal Affairs and Citizens' Rights, on the Commission report on the operation Directive 87/102/EEC for the approximation of the laws, regulations and administrative provisions of Member concerning credit - C4-0185/95). Mosiek-Urbahn Mr President, ladies and gentlemen, the draft directive amending the consumer credit directive a small but significant step in the direction more consumer protection. The thrust of the amendments concerns definition, is binding all States the European Union, a uniform method of calculating the annual percentage rate of charge. This will have a particularly advantageous for consumers, makes it for to financial services products cross-border basis. Furthermore, the Commission's proposal certain degree of harmonization of bases for assessment, as the percentage rate of charge will now calculated for the year on the basis of or 366 days. However, in my report I propose that the standardized calculation for the be made only on basis of 365 The on Affairs Citizens' Rights given its support to this proposal, as have the votes of group. This clarification is necessary because the Commission's version is be and it also the calculation to be on basis that is equal number days. a however, involve disadvantages for the It would mean that the value and the actual to be used in each case, with the that in February, for example, we would only 28 days, whereas in January we would have 31. That would that the would change in months of different lengths, despite nominally uniform rate of The comparability of interest rates would thus be restricted. this directive does undertake a complete of the bases assessment, the Committee Affairs and Rights also Commission's proposal to introduce
ive amending Directive 87/102/EEC (as Amended by DIrectIve 90/88/eEC) ReLatiNg to The approximatiON of tHe laws, regulations and adMinisTrATive PRoVisioNs of the mEmBER StAtEs ConCeRNiNg conSumEr crediT (COM(96)0079 - C4-0243/96-96/0055(COD)); -A4-0010/97 bY Mr caCcavale, on behALf Of the CommiTteE on Legal AffaIrs And CitIzEns' rIghts, On tHe ComMissioN Report On the operAtIOn of DiREctive 87/102/Eec FoR the Approximation of thE LaWS, regulations anD adminIsTRaTIVe pRovIsions of thE MEmber sTates coNCeRNINg cONsumer credit (CoM(95)0117 - C4-0185/95).
Mosiek-UrBAhn
mr PresIdEnt, LAdies aNd genTlEMen, The draft dirEctiVe amendinG the coNSumer crEDit direCtive iS a sMalL but SIgNiFicAnT SteP In The DIreCtion of mOrE cOnsumEr prOTECTion. the Main ThrusT of the amendmeNts ConcERns The deFinitIon, wHiCh is bInding Upon aLl member States of tHe EuRopean UniOn, oF a UniFoRm metHOd of caLcuLatIng the aNnual peRCenTaGE RAtE of charge. This will hAvE A PaRticularLy advaNTaGeOUs effect FoR coNsumERS, becaUse iT MaKes it easIer for THeM tO comparE fInanciAl SerVicEs proDUcts On a croSs-border Basis.
fUrthermore, the COMmission's propOSaL CArRIes oUt a Certain degrEe of HArmoNizaTIoN of BAses fOr assEsSMeNT, inasmuch as the annuaL pErcentAge raTe of charge wilL now be calcULATed for thE yeaR On THe basis of 365 or 366 dayS. HoweVer, in my repORt I propoSe thaT the stanDardized cALCulation For The YeaR shOULd Be made only on tHE BasiS oF 365 days. ThE CoMmittee On LEgaL AfFaiRs And CitizeNs' Rights HaS gIvEn Its SuppoRT to this pRoPosAl, As hAve thE Votes oF my grOup.
THiS cLAriFicatioN Is NECessArY bEcauSe tHe commiSsioN'S veRsion is Liable to bE miSUndeRsToOd and it Also allows the CaLculation tO bE maDe on a bASIs that is Equal to the number of days. CALculatiOn oN such A basIs, however, WouLd invoLve DIsadvaNtages For thE cOnsUMEr. It wOULd MeaN tHat the actuAL ValUe and ThE actUal periOd of time would have tO Be uSed in each case, WitH the RESuLt tHAt IN FeBrUAry, FOR example, we would Have only 28 daYs, WHeReas in JanuARy wE wOuld havE 31. That woUld meAN that thE actual inTerest wouLd ChanGE In mOnths of difFerent leNgths, despITe the NOmInallY unIform rAtE of ChargE. The coMParAbiliTy of inTeRest raTes woUlD thus be rEstricted.
Since this draft DirectIve doEs nOt undertaKe a COmpLete harmoNizaTion of the bAseS foR asseSsmENt, the commITtEe oN legal affaIRs and CitiZEnS' RiGHTs Is also opposED TO thE CommIssIOn's proPosaL to introduce
ive amending Directive 87/ 102/EEC (a s ame nde d b yDire ctiv e 90/88/EEC) r e lati ng to the approximatio n ofth e  law s ,regul ationsa nd a dmi ni st rat iv e  p rovis ion s of th e Member S tat es  concerningc on sumer cred it(COM(96)0079  -C4-024 3/ 96- 9 6/005 5(C OD));  -A4-0 0 10/97by Mr Cac ca v ale, o n  behalf o ftheCommittee on Lega l  A f fairs and Citi zens'Ri g ht s ,  on  th e Commissi on  repo r t on th e  o p e r ati o n of Directiv e 87/102/EE C  fo r theap pro x imatio n ofth e  la ws, regulat ions  and admi nistra t ive pro v isionsof the  Me mbe r St a te scon ce r nin g  c ons u mer  credit(C OM (95)0 117- C 4 -018 5/9 5).Mosie k-Urbahn
Mr P res iden t , l adies  andgent le men,the dr aft d ir ective amending  the  consumer  cr ed itdi recti v e is a  sm all  but si gnifica n t s te p i nthe direction of m or e co nsumer p rotect i on .T he mainth rus t of t he am endm e nt s concer ns the de fi nition,  w hich i sbin din g upo n  all  Membe r States  of t h e European Uni o n, of a unifo r mm e th o d of  ca lculating t he a n nual  per c en tag e  rate  of c ha r ge .  This will have a p ar ticula rly a dvantageous e ffect forc o n sumers,beca u se it makes it ea sierfor them t o  compare  fina ncial se rvices pr o d ucts ona c ros s-b ord e r  b asis.
Further m o re,th e Commi ssi on's pr opo sal  ca rri es  out a ce rtain de gr ee  o fhar moniz a tion ofba ses  f orasses s ment,inasm uchas  t h e a nnual p e rc e n tage  r at e of  ch ar ge wi ll n o w b e calcu lated for  th e  yea ron  the ba sis of 365 or  3 66 days. H ow eve r, inm y  reportI propose that the stan d ardized  ca lcula tion  for theyea r shou ldb e made  onlyon th ebas i s  of 3 6 5  d ays .The Commit t e e o n Leg al  Aff airs an d Citizens' Rights has  given its su ppo rt t o th isp ro p osa l, ash a ve the votes of  my group. 
T h is  clarifica t ion  i s neces sary be cause the Com mission's  versionis  lia b l e t o be misun derstood  and it a l so al l ow s the  ca lculat io n t o bemade o n  abasis  thatis  equal  to t he  numberof days. Calculation on  sucha bas is,  however,  wo u ldinvolve d isad vantages f orthe  cons ume r . Itwoul d  m ean thatthea ctual val u eand t he  actual per i o d  of  time  wo u ld hav e to  be used in eachc ase, with theresu l t  th ati n Fe br uary, for exam ple ,w e  would h av e only 28 d ays, whe re a s inJanuar y we w ould ha v e  3 1 . That  wou ldmean that  th ea ctual i nt er e st wou ld c ha nge in  month s  ofd i fferent lengths,  desp i t e the nom inall yuniform rate  of charge . The compa rabili ty o f int erest r at es wou ldth us be rest r icted.
Si nce t his dra ft  dir ect ive do es n o t  unde rtak ea c omplete h a r mo n iz at i onof t he ba se s fo r assessm e nt, theCom m ittee o nLeg a l  Affai r sa n d Citizens ' R ights i s also opp o sedt ot he Co mmissi on's p roposal toin troduce 
ive amending_Directive 87/102/EEC_(as amended by Directive_90/88/EEC) relating_to_the approximation_of_the laws, regulations_and administrative provisions_of the Member States_concerning consumer credit_(COM(96)0079_- C4-0243/96-96/0055(COD)); -A4-0010/97 by Mr Caccavale, on behalf of the Committee on Legal Affairs_and_Citizens' Rights,_on_the_Commission report on the operation_of Directive 87/102/EEC for the_approximation of_the laws, regulations and administrative provisions of the_Member_States concerning consumer_credit (COM(95)0117 - C4-0185/95).
Mosiek-Urbahn
Mr President, ladies and gentlemen, the_draft directive amending the consumer credit_directive is a_small_but_significant step in the_direction of more consumer protection. The_main thrust of the amendments concerns_the definition, which is binding upon all_Member States of the European Union,_of a uniform method of_calculating the_annual percentage rate of charge._This will have_a particularly_advantageous effect for_consumers, because it makes it easier_for them to_compare financial services products on a_cross-border_basis.
Furthermore, the Commission's_proposal_carries_out a_certain degree of_harmonization_of bases_for_assessment, inasmuch as the annual percentage_rate_of charge will now be calculated for_the year on the_basis_of 365 or 366_days. However, in my report_I propose that the standardized calculation_for the_year should_be made only on the basis of 365 days. The Committee_on Legal Affairs and Citizens' Rights_has given its support_to this_proposal,_as have the_votes_of my_group.
This clarification is necessary because the Commission's_version is_liable to be misunderstood and it_also allows the calculation_to_be made on a basis that_is equal to the number of_days. Calculation on such a_basis,_however,_would involve disadvantages for the_consumer. It would mean that the_actual value and_the actual period of time would have_to_be used in each case, with_the_result that in February, for example,_we_would_have only 28 days, whereas_in January we would have 31._That would mean that the actual interest would change_in months of_different lengths, despite the nominally_uniform_rate_of charge. The comparability of interest rates would thus be_restricted.
Since this_draft directive does_not undertake a complete harmonization of the bases for assessment,_the Committee on Legal Affairs and Citizens'_Rights is also opposed to the Commission's proposal to introduce