Consumer rights
Buy now, pay later: new EU credit rules from 20 November
From 20 November 2026, most buy-now-pay-later and small loans fall under EU credit law: credit checks, a 14-day exit and clearer costs. What changes for you.
From Friday 20 November 2026, the EU's revised Consumer Credit Directive (Directive (EU) 2023/2225) starts to apply, replacing the 2008 rules. For the first time, most "buy now, pay later" (BNPL) options at online checkouts, loans under €200 and short interest-free credit count as consumer credit. That means a credit check, standard cost information, a 14-day right to cancel and a warning in the advertising. The timing matters: Black Friday is on 27 November, one week later, when many shoppers split payments. One catch: the rules reach you through national law, and several countries, including Romania and (as of late September) the Netherlands, have not finished that step.
What changes on 20 November
The old directive had big gaps. Credit under €200, credit that was interest-free, and credit repaid within three months were generally exempt. That is exactly how most BNPL products work, so most of them sat outside consumer credit law. The new directive removes the €200 floor and those exemptions and covers consumer credit up to €100,000.
The main protections, as set out by the European Commission and the European Parliament:
| Protection | What it means for you |
|---|---|
| Creditworthiness check | The lender must check whether you can realistically repay, in your interest, before lending. Health data may not be used, and social media is not an allowed source. |
| Human review | If the credit decision is automated, you can ask for a person to look at it. |
| Standard cost information | Before you are bound, you get key terms in a standard format, including the total cost of credit. |
| 14-day withdrawal | You can cancel the credit agreement within 14 days without giving a reason. If key information was missing, that window can stretch to 12 months and 14 days. |
| Early repayment | You can repay early and reduce the total cost. |
| Advertising warning | Credit ads must carry a clear warning that borrowing costs money ("Caution! Borrowing money costs money" or similar). |
| No pre-ticked extras | Add-ons such as payment protection insurance cannot be pre-selected, and consent to credit cannot come from a ticked box. |
| Caps on costs | Countries must have caps on interest, APR or total cost of credit; the levels are set nationally. |
| Help if you struggle | Lenders must consider reasonable forbearance (such as rescheduling) before enforcement, and countries must offer debt advice. |
What stays outside the rules
There is a narrow exemption for short, interest-free payment terms that the shop itself gives you, with no third-party lender involved and no charges beyond limited late fees. In the national laws adopted so far, such as in Germany, Finland and Denmark, that means paying within 50 days of delivery, or 14 days for large retailers. If a BNPL company finances the purchase, or the shop sells the debt on, it is normally in scope.
Mortgages and loans for buying property are covered by separate rules, and credit above €100,000 is generally outside this directive.
Agreements you sign before 20 November continue under the old rules until they end.
Is your country ready?
The directive had to be written into national law by 20 November 2025. Many countries missed that: the European Commission started infringement steps against 23 member states earlier in 2026, according to the European lenders' federation Eurofinas. Progress since then has been uneven.
| Country | Status (latest available) |
|---|---|
| Germany, Austria, Sweden, Denmark, Finland | National laws adopted; apply from 20 November 2026 |
| Italy, Hungary | Reported as transposed |
| Netherlands | Bill still in parliament at end of September 2026; date not set |
| Romania | Not transposed; Commission sent a reasoned opinion on 1 October 2026. The 2010 ordinance (OUG 50/2010) still applies |
For other countries, check your national consumer authority or finance ministry. In a country that is late, providers may not yet be bound by the new national rules, so some protections, such as the credit check on BNPL, may not appear at checkout on day one.
Why it matters before Black Friday
Pay-later options are most popular during sales weeks. A stricter check on every purchase may mean more "declined" messages at checkout. That is the system working as intended, not a mark against you. You can still pay by card or bank transfer.
It is also a good moment to remember that splitting a payment does not make a discount bigger. Our guide to fake Black Friday discounts and EU price rules explains how to check whether a "was" price is genuine.
What to do now
- Note the date. For BNPL purchases from 20 November, look for the standard cost information and the borrowing warning before you confirm.
- Read the summary, not just the button. Check the total amount, the payment dates and what late fees apply.
- Untick extras. Payment protection or insurance should never be pre-selected; leave it off unless you actually want it.
- Use the 14 days if you change your mind. Cancel the credit in writing (email or app) and keep a copy. Cancelling the credit is not the same as returning the goods; you may still owe the price.
- Ask for a human if an automated decision refuses you and you think it is wrong.
- Struggling to pay? Contact the provider early and ask in writing for a payment plan. Free or low-cost debt advice services exist in most countries.
- If something goes wrong, complain to the provider first, then to your national consumer protection authority (in Romania, ANPC). For cross-border purchases, the European Consumer Centres network can help for free.
This article is general information, not legal or financial advice. Rules depend on national law, so check the terms of your own agreement.
Sources
- European Commission – Consumer protection in financial services and the Consumer Credit Directive
- EUR-Lex – Summary of Directive (EU) 2023/2225 on credit agreements for consumers
- European Parliament – MEPs adopted new rules protecting consumers from taking on too much debt
- Eurofinas – CCD2: transposition still lagging across member states (July 2026)
- Briqpay – CCD2 country-by-country status (September 2026)