You have made a request for a loan offer, whether for a real estate project or a consumer loan. Good news, this loan request is validated, and the funds are therefore available to you. Can you finally make the decision to cancel the project? Is it possible to stop the loan agreement, once it has been validated? Yes, provided that you exercise your right of reflection or withdrawal at the right time.
The principle of the withdrawal or reflection period
In theory, agreeing means commitment on your part. So, in the context of a loan application that is granted, saying “yes” commits you. But the law still leaves a little freedom and protects consumers, thanks to the periods of reflection and / or withdrawal.
These deadlines allow you to think about or even to renounce a contract (in our example a loan offer) even if it has already been validated. Please note, however, you cannot exercise this right of withdrawal or reflection in all cases, and at any time. A certain formalism is also required to manifest yourself. Let us take stock according to the types of credits.
The case of consumer credit
From the acceptance of a credit contract offer, a withdrawal period of 14 days is launched. This period may sometimes be shorter, in the case of appropriations allocated (that is to say granted for a specific project, requiring an invoice or the production of documents explaining the use of funds).
The deadline may in this case, and on express request, written dated and signed by the purchaser’s hand, be changed to three days only. During the withdrawal period, if you decide to change your mind and cancel everything, you must act quickly using the detachable withdrawal slip attached to the copy of the credit agreement. Always refer to your contract.
As explained in articles R. 311-5, I, 5 ° b of the Consumer Code, the contract must state “the existence of the right of withdrawal, the period and the conditions for exercising this right”. Know to conclude that the right of withdrawal can only be exercised if the lender is a professional, and that the loan relates to an amount between 200 and 75,000 $.
The case of mortgage
For a mortgage, there is no withdrawal period, but a reflection period. This is 10 days from receipt of the offer (time to accept or refuse the offer). The procedure for canceling credit is therefore different from that seen for consumer credit.
Here, an acceptance of the credit offer must be made by post, as evidenced by the postmark. A letter must be sent by registered mail, preferably with acknowledgment of receipt, in order to comply with the entire procedure. If you do not want your mortgage to be successful, then do not resend this mail!
The same is true for renegotiation by way of amendment to the loan contract. If you change the monthly payment or the duration of a mortgage already in progress, then acceptance of the endorsement is required by registered letter with AR. In the absence of a letter within the time limit (10 days), the offer no longer holds and is canceled.
Beware of the method of calculating days for withdrawal and reflection periods. All calendar days are counted (Saturday, Sunday, holidays and non-working days included). Indeed, we are talking about calendar days (14 or 10 depending on the case) but not working days (Monday to Friday).
So be careful to respect the right deadline in particular to assert your right to withdraw a consumer credit. Sent too late, the mail will not allow you to assert your right. And yes, because it is the date of dispatch of the withdrawal request that is taken into account, and not the date of receipt, as some people often tend to believe.