Loan Insurance – What is the withdrawal period?
The withdrawal period refers to a time limit applying to a credit transaction, an insurance transaction, a home sale or a distance sale. The current withdrawal period is 14 days for a consumer loan. It starts on the day of acceptance of the pre-loan offer.
For any purchase or construction of residential real estate, the withdrawal period is 7 days.
More on withdrawal period
Also known as the delay of repentance, the withdrawal period offers the consumer the opportunity to reconsider his commitment. Any sales contract is subject to obligations for the seller and the consumer. It must include the following information: the withdrawal period, the cooling-off period, the return period, the after-sales service, the product recall.
In some contracts, there is a withdrawal period, which allows the consumer to reconsider his decision to accept an offer. In contrast to the reflection period, a retraction requires the consumer to actively take action.
There are several ways to make a retraction:
- Send registered mail with AR
- Return the goods
- Return the detachable form
- Advance payments prohibited
Depending on the contract, the duration of the withdrawal period can vary from 7 to 30 days. This period begins on the date of contract subscription or on the order date. When the consumer withdraws, the professional has the obligation to make a refund within 30 days after the withdrawal.
The consumer law of March 17, 2014 imposes a 14-day withdrawal period and a 14-day period for the professional to reimburse the consumer.
Retraction period depending on the type of contract:
- 14 days for a consumer loan
- 7 days for a real estate purchase (from the date of receipt of the deed)
- 14 days for door-to-door canvassing
- 14 days for a distance sale
- 30 days for life insurance
- 7 days for a marriage agency
- 14 days for a contract of enjoyment of a timeshare property
The word of the broker
The withdrawal period is also called the cooling-off period.