The Distance Marketing of Consumer Financial Services Directive (“the DMFSD” or “the Directive”) was transposed into Irish law under the European Communities (Distance Marketing of Consumer Financial Services) Regulations 2004 and a subsequent amendment in 2005 (“the Regulations”). The DMFSD aims to ensure the free movement of financial services and the harmonisation of consumer protection rules. Our Risk team explain below.
The Directive introduced the following benefits for consumers:
- Suppliers of financial services are obliged to provide the consumer with information on the supplier, the product, the distance contract, redress and compensation prior to the conclusion of the contract;
- Consumers have a 14 day right of withdrawal; and
- Supply of services and unsolicited communications without explicit prior consent of the consumer are prohibited.
