MCOB 3B.1 1Provision of general information

This chapter applies to a firm that is an MCD mortgage lender or a tied MCD mortgage credit intermediary.

A firm must make available clear and comprehensible information about MCD regulated mortgage contracts at all times on paper, or on another durable medium or in electronic form, that includes:

1. (1)

   the identity and the geographical address of the firm;

2. (2)

   the purposes for which the credit may be used;

3. (3)

   the forms of security, including, where applicable, the possibility for it to be located in a different EEA State;

4. (4)

   the possible duration of the MCD regulated mortgage contracts;

5. (5)

   the types of available borrowing rate, indicating whether fixed or variable or both, with a short description of the characteristics of a fixed and variable rate, including related implications for the consumer;

6. (5A)

   where contracts that reference a benchmark are available, the names of the benchmarks and of their administrators and the potential implications on the consumer;2

7. (6)

   where foreign currency loans are available, an indication of the foreign currency or currencies, including an explanation of the implications for the consumer where the credit is denominated in a foreign currency;

8. (7)

   a representative example of the total amount of credit, the total cost of the credit to the consumer, the total amount payable by the consumer and the APRC;

9. (8)

   an indication of possible further costs, not included in the total cost of the credit to the consumer, to be paid in connection with an MCD regulated mortgage contract;

10. (9)

    the different options available for repaying the credit to the MCD mortgage lender, including the number, frequency and amount of the regular repayment instalments;

11. (10)

    where applicable, a clear and concise statement that compliance with the terms and conditions of the MCD regulated mortgage contract does not ensure repayment of the total amount of credit;

12. (10A)

    a description of the conditions directly relating to early repayment;2

13. (11)

    whether a valuation of the property is necessary and, where applicable, who is responsible for ensuring that the valuation is carried out, and whether any related costs arise for the consumer;

14. (12)

    an indication of ancillary services the consumer is obliged to acquire in order to obtain the credit or to obtain it on the terms and conditions marketed and, where applicable, a clarification that the ancillary services may be purchased from a provider that is not the MCD mortgage lender; and

15. (13)

    a general warning concerning possible consequences of non-compliance with the commitments linked to the MCD regulated mortgage contract.