Cabinet of Ministers Regulations No. 648 Riga 2014 October 21st (Mon. No 57 § 4) the rules on distance contracts for the provision of financial services Issued under the consumer protection law, article 10 of the second part of rule 1 is determined before the conclusion of the contract and the contract should be the content of the information, a procedure for the provision of the consumer protection law the refusal as provided for in article 12 of law implementation deadlines and procedures, consumer and a seller or service provider, the rights and obligations of the right of withdrawal in the case of as well as the exceptions to the right of withdrawal 2. These regulations shall apply to distance contracts for the provision of financial services (hereinafter referred to as the distance contract), which is closed between financial service providers (hereinafter referred to as service provider) and a consumer who is a natural person (consumer). 3. financial service within the meaning of these provisions is any credit or lending (consumer lending), insurance, personal pension, investment or payment service provider by your professional activities provide the consumer. 4. If a provider and consumer of the original contract for the provision of financial services, followed by subsequent transactions or individual transactions of a similar nature series, these rules apply only to the initial contract for the provision of financial services. 5. If, between the service provider and the consumer originally was not contracted for the provision of financial services, but the same effect are made in several consecutive transactions or individual transactions of a similar nature, that rule 6, 7, 8, 9, 10, 11, 12, 13, 14 and 15 shall apply after the first transaction is made. If more than a year between the parties have not made any similar type of transaction, the first transaction after the expiry of that period the new deal takes the series to the next transaction and accordingly applied these rules 6, 7, 8, 9, 10, 11, 12, 13, 14 and 15. 6. Prior to the conclusion of the distance contract the consumer of the service provider provides the following information about yourself: 6.1. the name of the service provider (business), the main business lines and the registered office and any other address that you can use to communicate with the consumer of the service provider; 6.2. the consumer's country of residence of the registered service provider representative name (trade name) and address, which you can use to communicate with the consumer, the provider's representative, if any; 6.3. when the consumer's dealings with service providers happens to another person, that person's name – (business) name, surname, the capacity in which it acts against the consumer, and the address that you can use to the consumer be able to communicate with this person; 6.4. registration number, if the service provider is registered in a commercial register, commercial register or other Member State of the European Union's public register. If the service provider is established in another Member State of the European Union's public register, the registration number may be replaced by other equivalent means of identification; 6.5. If the service requires a permit, the particulars of the relevant supervisory authority. 7. before the conclusion of the distance contract the service provider will provide to the consumer the following information for the financial services: 7.1. characteristics of the financial service; 7.2. the total price to be paid by the consumer to the service provider for the financial service, including all related fees, charges and expenses, and all taxes payable via the service provider, or, if an exact price cannot be indicated, an explanation of the calculation of the price enabling the consumer to verify it; 7.3. If necessary, the information about the fact that the financial service is related to the financial instruments, which have special risks related to their specific features or the operations to be undertaken or whose price depends on fluctuations in the financial markets, and the service provider can not influence those fluctuations, and that service provider's previous achievements or actions in the financial market does not ensure future developments or activities; 7.4. information about the fact that there may be other taxes and (or) costs that are not paid by the service provider or not oblige service provider; 7.5. period during which the information provided is valid, and its limitations; 7.6. the payment and performance of financial services; 7.7. any specific additional cost for the consumer of the use of means of distance communication, if such additional cost is required. 8. Prior to the conclusion of the distance contract the consumer of the service provider shall provide the following information on the distance contract: 8.1. exercise of the right of being or not being in accordance with the provisions of paragraph 19 and-if the right of withdrawal exists – right of withdrawal period and the conditions for their use, information on the amount which the consumer may be required to pay, on the basis of this provision, paragraph 25, as well as the non-use of the right of withdrawal; 8.2. the minimum distance contract, if the financial service is intended to provide permanent or recurring; 8.3. information on the rights of the parties to terminate the distance contract early or unilaterally by virtue of the terms of the distance contract, as well as the penalties, if any; 8.4. the practical instructions for exercising the right of withdrawal, the address to which to send the consumer a notice of refusal; 8.5. the Member State of the European Union or the Member States of the European Union, whose laws apply to the service provider and consumer relations prior to the conclusion of the distance contract; 8.6. information as to what the law according to the provisions of the Treaty applicable to the distance contract performance disputes, and the Court will have jurisdiction over such dispute; 5.4. information on what language or languages can get the distance contract rules and these rules 6, 7, 8, 9, 10 and 11. information referred to in paragraph 1, as well as the language or languages in which the service provider with the consent of the consumer, undertakes to communicate this distance further for the duration of the contract. 9. Prior to the conclusion of the distance contract service provider in addition to the provisions referred to in paragraph 8.6. information you provide to the consumer the following information on dispute resolution options: 9.1. is there a dispute settlement proceedings and, if one exists, the way in which consumers can use it; 9.2. is there a guarantee fund and other compensation systems, other than those covered by the deposit guarantee law, insurance companies and their supervision and investor protection in the law of statutory requirements. 10. These regulations 7, 8 and 9, the information referred to in paragraph explaining its commercial purpose, is to be clear and understandable in any way that is appropriate to the means of distance communication used, subject to the principle of good faith in commercial transactions. 11. If the conclusion of the distance contract or offer, the consumer, expressed as a communication tool is used for voice telephony, with a representative of the service provider at the beginning of the negotiations, provide information about the service provider's name (business name) and the commercial purpose of the call. 12. If the rules set out in paragraph 11, the consumer's explicit consent to continue the conversation, a representative of the service provider provides the following information: 12.1 name of the person, which communicates with the consumer, and the relationship with the service provider; 12.2. the characteristics of the financial service; 12.3. the total price of the financial service including all taxes paid via the service provider, or an explanation of the calculation of the price (if an exact price cannot be indicated), enabling the consumer to verify it; 12.4. information that there may be other taxes and (or) charge, imposed by service provider or are not paid by the service provider; 12.5. the existence of the right of withdrawal or not being in accordance with the provisions of paragraph 19 and if the right of withdrawal exists, its duration and the conditions of use, including information on the amount which the consumer may be required to pay, on the basis of this provision, paragraph 25. 13. If the communication channel is the distance contract in voice telephony, the service provider shall inform the consumer about the additional information on the services offered is available on request by the consumer. The service provider shall be deemed to have fully informed the consumer of a service, if the information provided meets the requirements of paragraph 16 of the rules. 14. Information on contractual obligations, which is communicated to the consumer before the conclusion of the distance contract, comply with the requirements of the laws, which are considered to be applicable to the distance contract if it would be closed. 15. in addition to these rules 6, 7, 8 and 9 above information provider also provides the information required by other legislation governing the provision of financial services. 16. The service provider to the consumer in writing or by other consumer accessible durable medium shall notify all through the distance contract rules and these rules 6, 7, 8, 9 and 15, paragraph information before the consumer becomes bound by any distance contract or offer. Permanent storage media for the purposes of the information and allows the unchanged reproduction of the information stored, enables the consumer to store information addressed personally to him in a way that it would be possible to refer in the future. 17. If the distance contract is concluded at the consumer's request using a means of distance communication which does not enable you to get the distance contract terms and information in accordance with paragraph 15 of these rules, the service provider of this rule 6, 7, 8, 9 and 15 the information referred to in paragraph gives the consumer immediately after the conclusion of the distance contract. 18. The distance for the duration of the contract the consumer shall have the right to request and receive the terms of the distance contract in writing. The consumer is entitled to change the means of distance communication used, except when it does not correspond to the distance contract concluded or provide financial services. 19. The consumer can make use of the right of withdrawal within 14 days and to derogate unilaterally from the distance contract. If the distance contract is concluded for the life insurance and private pension business, the consumer can make use of the right of withdrawal and unilaterally withdraw from a distance contract within 30 days. 20. This provision, paragraph 19, of the right of withdrawal period from: 20.1. the conclusion of the distance contract; 20.2. the day on which the consumer receives the contractual terms and the distance information in accordance with the provisions of paragraph 16 or 17, if that is later than the date referred to in paragraph 20.1.; 20.3. the moment the consumer is aware of the fact that the distance contract is concluded, if the distance contract is concluded for life insurance. 21. If the parties have not agreed otherwise, the consumer may not exercise the right of withdrawal in respect of: 21.1 financial services whose price depends on fluctuations in the financial market, which the service provider can not influence, and which may occur during the withdrawal period for the use of the claims services related to: 21.1.1. currency exchange; 21.1.2. money market instruments; 21.1.3. Securities; 21.1.4. investment fund units; 21.1.5. financial termiņlīgum, also equivalent instruments, cash-settled; 21.1.6. forward rate agreement (FRA); 21.1.7. interest rate, currency and equity swaps; 21.1.8. option contracts on any instrument referred to in this paragraph for the purchase or sale (also a cash-settled, in particular options on currency and on interest rates); 21.2. the travel and baggage insurance policies or similar short-term insurance policies of less than one month's duration; 21.3. the contracts whose performance has been fully completed by both parties at the consumer's express request before the consumer exercises his right of withdrawal. 22. the consumer in writing (or using another service provider available durable medium) notify the provider about the right of withdrawal up to the expiry of the corresponding practical instructions given in accordance with the provisions of section 8.4. The deadline is met if the notification of refusal was sent to the end of the term. 23. These regulations 19, 20, 21 and 22 shall not apply to consumer credit agreements cancelled under consumer protection law, article 31, first paragraph, of the conditions in respect of distance contracts and holiday home use rights contracts, vacation services of long-term contracts, holiday home or a long term use rights holiday service resale contracts and holiday home exchanges of rights of long-term contracts. 24. If the distance contract on a particular financial service is related to a distance contract for the services provided by the service provider or a third party on the basis of an agreement between the third party and service provider, this distance contract for services is repealed without penalty, if the consumer exercises his right of withdrawal pursuant to paragraph 19 of these rules. 25. If the consumer exercises the right of withdrawal provided for in paragraph 19 of these rules, the service provider may require the consumer, without undue delay, to pay for the services provided, if the consumer received in accordance with the distance contract. Distance contract may only begin after the consumer has given his consent. In this case, the amount to be paid: 25.1. may not exceed the amount which is proportional to the service already provided in comparison with the distance contract obligations in full; 25.2. is not such that it can be considered a penalty. 26. The service provider may not require the consumer to pay this provision the amount specified in paragraph 25, if he can prove that the consumer was duly informed about the amount payable under this rule 8.1. The service provider may not require such payment if you have started the implementation of the distance contract before this provision 19. refusal provided for in paragraph expires without the consumer's prior request. 27. The service provider not later than 30 days from the day of receipt of the consumer's notice of the right of withdrawal, the consumer shall repay all amounts received, in accordance with the distance contract, except for this provision, the amount referred to in paragraph 25. 28. the consumer not later than 30 days from the date of the notice of the right of withdrawal sent by the service provider, then all amounts shall be returned and things received from your service provider. 29. The service provider may not without the prior consent of the consumer to provide the financial services that provide immediate or deferred payment. This condition applies also if the distance contract according to its terms are extended silence. The default of the consumer to provider offers can not be considered as the consent of the consumer. 30. in the event of a dispute, the provider is obliged to prove that it is 30.1: provides the consumer with all the information specified in these provisions; 30.2. the consumer has consented to the conclusion of the distance contract; 30.3. that it has fulfilled its obligations in the distance contract.
Informative reference to European Union Directive provisions included in the law arising from the European Parliament and of the Council of 23 September 2002, Directive 2002/65/EC concerning the distance marketing of consumer financial services and amending Council Directive 90/619/EEC and directives 97/7/EC and 98/27/EC. The Prime Minister is the Rapidity of economic Newsletters Minister Vyacheslav dombrovsky