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PHARE / Transition Facility Twinning Light project Fiche
Project Title Strengthening of Consumer Rights Protection in the Area of
Consumer Credit
Project Number 2006/018-183-04-01-08
Twining Light No.
Funding Programme 2006 Transition Facility/ Unallocated Envelope
Beneficiary Institution State Consumer Rights Protection Authority, Vilnius street
25, 01119 Vilnius, Republic of Lithuania
Maximum Budget 0,18 MEUR
1. Background and justification
The comprehensive monitoring report (2003) on Lithuania‟s preparation for the membership stated
that the legislative alignment in the field of financial services has been largely completed. However,
in order to protect consumers‟ economic interests effectively in the field of financial services
(especially consumer credit) a big attention must be paid especially to the strengthening of
administrative structures.
Consumer credit has a crucial importance for consumers in their daily lives. On the other hand,
consumer credit is a complex area both for consumers and creditors. The State Consumer Rights
Protection Authority seeks to strengthen confidence in consumer credit, as consumer credit forms the
biggest part of the financial sector. Due to the expansion of financial services‟ market the State
Consumer Rights Protection Authority aims to ensure high level of consumer rights protection in the
field of consumer credit. The demand for consumer credit is growing quickly; consumers sign more
consumer credit contracts, and the market of credit cards is expanding very fast. In view of the above
mentioned factors and the aim to ensure the high level of Consumer Protection, it is important
strengthen the administrative capacities of the main enforcement bodies – the State Consumer Rights
Protection Authority, creditors and nongovernmental organizations (further – NGO‟s).
In the recent years the types of credit offered to and used by consumers have evolved considerably.
New credit instruments have been developed, and their use continues to increase. It is therefore
necessary to amend existing provisions and to extend their scope, where appropriate.
In order to evaluate the development of consumer credit and to find out what kind of new consumer
credits have appeared in Lithuanian market, and to compare them with consumer credit products in
the European Union (further – EU), the following has to be done:
- carry out an analysis of consumer credit market in Lithuania and examine the provisions
that regulate consumer credit products following the best practice of the Member States.
The Commission adopted on 28th of October 2004 a modified proposal for a Directive on Consumer
Credit following the opinion voted by the European Parliament (EP) on 20 April 2004. After the
modified proposal was published, the Commission continued consultation with Member States and
stakeholders. As a result, the Commission concluded that a consolidated text would be useful. In
addition the consultations showed the need for further substantial modifications in order to avoid
unintentionally burdening consumer credit business whilst at the same time ensuring a high level of
protection for consumers. The Commission has three main objectives in the area of consumer credit:
– establishing the conditions for a genuine internal market,
– ensuring a high level of consumer protection, and
– improving the clarity of EC regulation by recasting the three existing Directives on
consumer credit (87/102/CE, 90/88/CE and 98/8/CE).
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Harmonization of consumer protection provisions in the area of retail financial services, coupled with
targeted mutual recognition, is a key aspect of the Commission strategy for developing the retail
financial services market.
The Consumer Credit Directive 87/102/EC, based on minimum harmonisation, resulted in Member
States going beyond the Directive‟s provisions to a different extent. As the relevant provisions are
mostly of a mandatory nature, these differences in national legislations constitute obstacles to the
internal market and dissuaded business to offer pan-European products. Consequently, a legislative
initiative was the only available option to meet the objectives. Enhanced competition and opening of
national markets to foreign creditors will lead to lower interest rates for consumers. Prices of
consumer credit vary widely according to the creditor and from one Member State to another, and
consumers should be put in a position to take advantage of offers throughout the EU territory.
Removal of barriers to competition will lead to a broader range of offers and improved products. The
level of innovation is already quite high in some Member States; however certain credit products
available in a given Member State can, in many cases, not be sold elsewhere in the EU. It is the
interests of consumers to have access to all credit products available in the EU, while being
guaranteed a high level of information and protection.
Harmonization of certain key elements of the consumer credit agreement will improve consumer
confidence and encourage consumers to buy credit across borders in the EU. The current low level of
cross-border consumer credit agreements is also due to concerns regarding the level of consumer
protection in foreign Member States.
Common position regarding the new Consumer credit directive was adopted on the 20 th of September,
2007 with a view to adoption of a Directive of the European Parliament and of the Council on credit
agreements for consumers and repealing Council Directive 87/102/EEC (further – new Consumer
credit directive).
At the moment consumer credit provisions in Lithuania only regulate the definition of consumer
credit, the contractual information that is compulsory, related credit agreements and so on. The State
Consumer Rights Protection Authority solves disputes between consumers and creditors in the field of
consumer credit, but at the moment there are no penal provisions for those individuals who violate
consumer credit regulations. State Consumer Rights Protection Authority‟s solutions are not
compulsory, so creditors do not have to implement them. The laws do not provide for any infliction
procedures in the field of consumer credit. Paying attention that new Consumer credit directive will
come into force in the short run State Consumer Rights Protection Authority would like to prepare
itself for the implementation of the mentioned Directive.
In order to develop the scheme of alternative dispute resolution and infliction procedure in the field of
consumer credit regarding the new Consumer credit directive following has to be done:
- evaluate and analyze the provisions in the field of disputes resolution and infliction procedure
in the EU according to the best practice of Member States in order to prepare State Consumer
Rights Protection Authority for the implementation of the new Consumer credit directive.
- prepare the recommendations (draft) of the provisions of disputes resolution and infliction
procedure according the best practice of the Member States in order to prepare State
Consumer Rights Protection Authority for the implementation of the new Consumer credit
directive.
The market for credit has a potential to develop; currently only a small part of it is cross-border. The
considerable overall size of the credit market conceals a large diversity between markets, where levels
of consumer credit vary considerably. The possibility to offer credit contracts throughout the EU
should result in improved efficiencies and economies of scale for banks and a cheaper and wider
selection of products for customers. Lenders will be able to design pan-EU consumer credit products.
New business opportunities are arising to harness the potential of the internal market – technology (in
particular the Internet) allow consumers and creditors to conclude distance contracts, and the new
demand for credit may arise from the increase in retail sales over the Internet, growth in access to
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Internet is stimulating e-banking. Due to the mentioned it is very important to develop the consumer
credit database system in order to get and to provide data to creditors about the creditworthiness of
consumers. It is very important to ensure that the cross border creditors would be able to get the data
about consumers from Lithuania if they are going to take credit from a creditor of a Member State.
In order to ensure provision of information about creditworthiness of consumers to the EU suppliers
of consumer credit on their request regarding the new Consumer credit directive the following has to
be done:
- analyze current situation of credit database system in EU following the best practice of the
Member States in order to prepare State Consumer Rights Protection Authority for the
implementation of the new Consumer credit directive .
- prepare recommendations on implementation of the consumer credit database system of
creditworthiness of Lithuanian consumers in order to prepare State Consumer Rights
Protection Authority for the implementation of the new Consumer credit directive.
There are 100 employees working in the State Consumer Rights Protection Authority in 2008. 20 of
them work with consumer credit.
In order to ensure high qualification of the employees of the State Consumer Rights Protection
Authority, and increase knowledge and skills of consumers, consumer credit providers and
nongovernmental organizations (NGOs) regarding the new Consumer credit directive the following
has to be done:
- organize study visit for the representatives of the State Consumer Rights Protection Authority.
- organize seminars for the staff of the State Consumer Rights Protection Authority, consumers
and consumer credit providers and NGOs.
Summary of the linked activities
The reforms of consumer protection and market surveillance system has been supported and
financed by PHARE project “Strengthening Administrative Capacity of the National Consumer Rights
Protection Board and Promotion of Activities of Public Consumer Organizations”. Project Number:
2003.004-341.06.01. The main task of this project was to strengthen consumer protection in Lithuania in
line with relevant EU acquis according to EU Member States best practices. The main purpose included
approximation of the Lithuanian legislation to the Directives and other legal regulations concerning the
new consumer protection Acquis according to the best practices of the EU Member States, improvement
of administrative capacity of the National Consumer Rights Protection Board (further – the Board; from 1
March 2007 State Consumer Rights Protection Authority) and ensuring effective operation of the Board
and other market surveillance institutions, adequate consumer protection and enforcement of coherent
strategies on consumer protection, consumer education and co-operation between the state, public and
private sectors in this field.
After the completion of the project these results were achieved:
- All planned trainings were organized in the field of implementation of the National Strategy
for Consumer Protection, Consumer Education, and Public Relations.
- The Board‟s website can be easily accessed by consumers since the first half of 2004.
- Operational rules of RAPEX system created and approved by competent institutions.
- Review of Lithuanian legislation conducted and necessary recommendations drafted.
- Agreement for cooperation between the Board and NGOs and draft Rules for funding of
NGOs were prepared. Board signed cooperation agreements with Consumer Rights Protection
Centre, Citizens Advice Union and other organizations.
- Documentation for the establishment Consumer Education Centre was prepared.
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- Grant agreement between the Board and the European Commission for the establishment of
the European Consumer Centre was signed. On 15th March 2005 the European Consumer
Centre was established and Director appointed.
- Documentation for joining FIN-Net was prepared.
Twinning Light project and PHARE project are linked together and complement each other in the areas of
implementation and development of the Acquis in the Lithuanian laws, promoting work of consumer
protection institutions, consumer education and information.
2. Description of the Assignment
The beneficiaries
State Consumer Rights Protection Authority - coordinating institution during the implementation of
the project and the main beneficiary.
Vilnius str. 25
01119 Vilnius, Lithuania
Project Leader:
Feliksas Petrauskas – General Director of the State Consumer Rights Protection Authority
Tel. +370 5 262 67 51
Fax. +370 5 279 14 66
Email: f.petrauskas@nvtat.lt
Contact person:
Marekas Močiulskis – Director of Economic Interests Department
Tel. +370 5 262 67 71
Fax. +370 5 279 14 66
Email: m.mociulskis@nvtat.lt
Agnė Paškevičiūtė – Head of Financial Services Supervision Division
Tel. +370 5 212 13 32
Fax. +370 5 279 14 66
Email: a.paskeviciute@nvtat.lt
The State Consumer Rights Protection Authority operates since August 2001. The State Consumer Rights
Protection Authority coordinates activities of the state consumer protection bodies. The mission of the
State Consumer Rights Protection Authority is to ensure high level of consumer protection in the
Republic of Lithuania by developing consumer rights protection system in line with European Union law.
The strategic goal is to implement the National Consumer Protection Policy aimed to ensure effective
protection of consumer rights and work towards an adequate harmonization of the laws of the Republic of
Lithuania with the European Union legislation in the areas of Consumer Protection and market
surveillance.
The State Consumer Rights Protection Authority's activities are aw follows:
Coordinates activities of state institutions involved in consumer protection;
Protects consumers' public interest;
Carries out Alternative Disputes Resolution of consumer disputes;
Monitors the use of unfair terms specified in consumer contracts;
Analyzes consumer complaints about unfair contract terms;
Coordinates and implements protection of consumers‟ economic interests, supervises market of
consumer products and services;
Carries out an out-of-court investigation of consumer complaints arising from consumers' disputes
with credit providers;
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Monitors compliance of the requirements for advertising stipulated in the Law of Advertising;
Within its remit imposes legal enforcement measures for infringements of the Law of Consumer
Rights Protection, the Law of Product Safety and the Law of Advertising;
Organizes and provides education of consumers, sellers, producers and services providers;
Provides information to consumers about unsafe products which have appeared or may appear in
the market;
Arranges information exchange with the European Union and the Member States;
Represents the Republic of Lithuania in the European Union and International Consumer
Protection Organizations.
There are 100 employees working in the State Consumer Rights Protection Authority, 20 of them work
with consumer credit.
European Consumer Center
J. Basanavičiaus str. 20-11
03224 Vilnius, Lithuania
Contact person:
Nijolė Steponkutė - Director
Tel: +370 5 265 03 68
E-mail.: n.steponkute@ecc.lt
The European Consumer Centre in Lithuania was established by the agreement of the European
Commission and the State Consumer Rights Protection Authority. The European Consumer Centre in
Lithuania helps to ensure and protect consumer rights in the following ways: informs consumers on their
rights and possible ways to settle their disputes/ complaints; provides consumers with free advice; quickly
collects extra information related to a consumer dispute/ complaint; introduces consumers with the
relevant provisions laid down in the European and national legislation; provides assistance in resolving a
dispute/ complaint in collaboration with other ECCs operating across Europe; provides consumers with
assistance in obtaining redress for the losses incurred; refers consumers to an appropriate institution when
the European Consumer Centre is not able to resolve a dispute/ complaint. The European Consumer
Centre aims to spread the information on consumers‟ rights, provide information and advice to LIthaunian
consumers when they have purchased faulty goods or services within the EU, and give advice to
consumers from the EU when they have purchased faulty goods in Lithuania, also help consumers to
resolve disputes under out-of-court settlement procedure, provide information and advice on the Internet.
The European Consumer Centre will provide experts of the project with the information about the
legislation of the EU countries regarding consumer credit. With the help of the European Consumer
Centre it will be possible to compare the Lithuanian consumer credit products with the products available
in the EU. The staff of the European Consumer Centre will be involved in arranging and participating at
seminars on consumer credit.
Consumer Education Centre
Odminiu str. 12
01122 Vilnius
Contact person:
Irena Zaleskienė – Director
Tel: +370 5 212 15 51
E-mail.: i.zaleskiene@vscinfo.lt
Consumer Education Centre was established in December 2005 aiming to improve consumer education in
Lithuania providing consumers with more information and knowledge necessary to make wise choices
when buying goods and services and resolve consumer problems. The host institution of the Consumer
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Education Centre is the State Consumer Rights Protection Authority. The main objective of the Consumer
Education Centre is to provide Lithuanian consumers with better opportunities to gain information and
knowledge about consumer rights.
Consumer Education Centre will organize seminars for the staff of the State Consumer Rights Protection
Authority, consumers and consumer credit providers, and NGOs.
Global and Specific Objectives
The global objective of the project
To strengthen consumer rights protection in the area of consumer credit and to increase consumer
knowledge and understanding about consumer credits.
The specific objectives of the project
- investigation of consumer credit market in Lithuania and provisions regulating consumer
credit products according to the best practice of Member States.
- development of dispute resolution and infliction procedure in Lithuania according to the best
practice of the EU Member States.
- drafting recommendations on development of consumer credit database system in Lithuania in
order to get and provide information about creditworthiness of consumers in the EU.
- training of the staff of the State Consumer Rights Protection Authority, consumers, credit
providers and NGOs in the field of consumer credit and preparation of education material.
Requested services
Activities
- to investigate the consumer credit market in Lithuania and find out about new credit products
which appeared in the market following the best practice of the Member States;
- to review the national legislation in the field of consumer credit and prepare analysis and
recommendations for the necessary amendments of those provisions in comparison with the
EU best practice in the field of consumer credit in order to prepare for the implementation of
the new Consumer credit directive;
- to review and analyze the information system of the consumer creditworthiness in Lithuania in
the field of consumer credit and to make analysis and recommendations for the necessary
amendments for the system model of consumer creditworthiness in comparison with the EU
best practice in order to prepare for the implementation of the new Consumer credit directive.
- to organize 2 seminars for the employees of the State Consumer Rights Protection Authority
(100 persons) and 2 seminars for the providers of financial services and NGOs (100 persons)
in the field of consumer credit regarding the new Consumer credit directive, and prepare the
training material .
- to prepare consumer education material in order to raise consumer awareness of their rights
and responsibilities in the area of consumer credit regarding the new Consumer credit
directive, etc. – material for the booklet about consumer rights in the field of consumer credit
after the adoption of a new Consumer credit directive.
The preparation of the material for the booklet would be one of the ways to implement the measures set
out in the Strategy of the State Consumer Rights Protection Authority for 2007-2010, i.e. „to distribute
publications intended for consumers on consumer related issues‟. The above mentioned educational
materials will be distributed during specific seminars organized by the regional divisions of the State
Consumer Rights Protection Authority in the regions of Lithuania and Consumer Education Centre.
- to organize 1 five days study visit for 5 representatives of the State Consumer Rights
Protection Authority. The aim of the study visit would be to strengthen administrative capacity
6
and to share the best practice in the area of consumer credit regarding the new Consumer
credit directive.
Though the key activities will be carried out in Lithuania, it is very important to enable representatives of
the State Consumer Rights Protection Authority to become familiar with the practice of consumer credit
development in other countries and to exchange experience in the sector of consumer credit. It would be
useful to visit the relevant institutions of consumer credit providers and related institutions in order to see
how the dispute resolution system in the field of consumer credit and consumer creditworthiness is
adapted in other countries, i.e. to learn how the ministries draft legislation on the basis of which those
procedures are prepared, how these procedures are implemented by creditors, and what role the
monitoring institutions play in this process. The delegates of the study visit would like to learn about
foreign practice implementing self-regulation mechanism in the area of consumer credit, which would be
useful in the development of the self-regulation bodies in financial sector in Lithuania.
Indicative work plan:
Input, man days
Activities Expert Legal Expert Economic Expert of Total
Project leader Expert consumer
rights
protection
To administer and 10 10
manage the project,
organize the study
visit
To investigate the 10 10 5 25
consumer credit
market in Lithuania
and find out about new
credit products
appeared in the market
following the best
practice of the
Member States.
To review the national 10 10 5 25
legislation in the field
of consumer credit and
make analysis and
recommendations for
necessary amendments
of those provisions in
comparison with the
best EU practice in the
field of consumer
credit in order to
prepare for the
implementation of the
new Consumer credit
directive.
Review and analyze 10 10 5 25
the information system
of the consumer
creditworthiness in
7
Lithuania in the field
of consumer credit and
to produce analysis
and recommendations
for necessary
amendments for the
system model of
consumer
creditworthiness in
comparison with the
best EU practice in
order to prepare for
the implementation of
the new Consumer
credit directive.
Organize 2 seminars 15 15
for the new employees
of the State Consumer
Rights Protection
Authority (100
persons) and 2
seminars for providers
of financial services
and NGOs (100
persons) in the field of
consumer credit
regarding the new
Consumer credit
directive; prepare the
training materials.
Preparation of 10 10 20
consumer education
material in order to
raise consumer
awareness of their
rights and
responsibilities in the
area of consumer credit
regarding the new
Consumer credit
directive, etc.; material
for the booklet about
consumer rights in the
field of consumer
credit.
TOTAL 10 40 30 40 120
Expected results:
- research of the Lithuanian consumer credit market and new credit products appeared in the market in
recent years following the best practice of the Member States performed;
8
- analysis and recommendations for the necessary amendments for the provisions of consumer credit
in comparison with the EU best practice in the field of consumer credit in order to prepare for the
implementation of the new Consumer credit directive prepared;
- review and analysis of the information system on consumer creditworthiness in Lithuania performed;
analysis and recommendations for the necessary amendments for the system model of consumer
creditworthiness in comparison with the EU best practice in order to prepare for the implementation of
the new Consumer credit directive made;
- 2 seminars for employees of the State Consumer Rights Protection Authority (100 persons) and 2
seminars for the providers of financial services and NGOs (100 persons) in the field of consumer credit
regarding the new Consumer credit directive organised; training materials prepared.
- consumer education materials in order to raise consumer awareness of their rights and
responsibilities in the area of consumer credit regarding the new Consumer credit directive prepared;
material for the booklet about consumer rights in the field of consumer credit prepared.
- 1 five days‟ study visit for 5 representatives of the State Consumer Rights Protection Authority
organised.
3. Experts profile
Project Leader will guide the project team and co-ordinate and supervise the implementation of the
project, ensuring the proper implementation of the project components. She/he will establish and maintain
the links with beneficiaries and all stakeholders involved in the implementation of the project. She/he will
ensure the timely and effective implementation of the project in accordance with the Project Fiche and the
time schedule identified in the inception report. She/he will take on a shared responsibility for the
implementation of the specific activities defined in paragraph 2.3.
Profile
The Project Leader will have the following profile:
- University degree in a relevant discipline (economist-lawyer would be an advantage);
- Administration experience and good organizational skills;
- Fluency in English;
- Have minimum 10 years of working experience, preferably gained in a state institution/ state
owned company of a Member State, in the area of financial/banking development;
- Familiar with the relevant European Council Directives and Commission Regulations pertaining
to the financial/banking services;
- Experience in management functioning of financial/banking service providers.
Short-term Experts:
The Contractor may provide short-term experts who have particular experience in certain fields to
complement the skills and experience of the Project Leader. If the Contractor does not consider this
appropriate, the inputs of the other experts may be increased accordingly. The pool of experts will have to
consist of experts with the university degree and familiar with the relevant European Council Directives
and Commission Regulations, in particular:
Legal Expert
- have the University degree in the field relevant to the objective of the project (preferably degree in
law);
- have minimum 5 years of working experience in the area of EU law (preferably law of
finance/banking);
- have good knowledge of the consumer protection acquis (all regulations and requirements in the
field of consumer protection and financial/banking services);
- practical experience in legal field (including development of operational guidelines).
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Economic Expert
- have the University degree in the field relevant to the objective of the project (preferably degree in
economics);
- have minimum 5 years of working experience in the area of financial/banking services (preferably
consumer credit);
- have good knowledge of the consumer Protection acquis (all regulations and requirements in the
field of consumer credit);
- practical experience in projects administration, organizing training seminars and preparation of
training material (including development of operational guidelines).
Expert of consumer rights protection
- have the University degree in the field relevant to the objective of the project (preferably degree in
law);
- have minimum 5 years of working experience in the area of consumer rights protection;
- have good knowledge of the consumer protection acquis;
- practical experience in organizing training seminars and preparation of training material
(including development of operational guidelines).
4. Location and duration
The project will commence in September, 2008 and will end in February, 2009. The project duration will
be of 6 months.
Input, Sep Oct Nov Dec Jan Feb
No. Activities man
days
To administer and manage the 10
project, organize the study visit
To investigate the consumer 25
credit market in Lithuania and
find out about new credit
products appeared in the market
following the best practice of
Member States.
To review the national legislation 25
in the field of consumer credit
and make analysis and
recommendations for necessary
amendments of those provisions
in comparison with the best EU
practice in the field of consumer
credit in order to prepare for the
implementation of the new
Consumer credit directive.
Review and analyze the 30
information system of the
consumer creditworthiness in
Lithuania in the field of
consumer credit and to prepare
analysis and recommendations
for necessary amendments for the
system model of consumer
creditworthiness in comparison
10
with the best EU practice in order
to prepare for the implementation
of the new Consumer credit
directive..
Organize 2 seminars for the new 15
employees of the State Consumer
Rights Protection Authority and 2
seminars for the providers of
financial services and NGOs (100
persons) in the field of consumer
credit regarding the new
Consumer credit directive;
prepare training materials.
Prepare consumer education 20
materials in order to raise
consumer awareness of their
rights and responsibilities in the
area of consumer credit regarding
the new Consumer credit
directive, etc.; material for the
booklet about consumer rights in
the field of consumer credit.
TOTAL 120
The project will be carried out in State Consumer Rights Protection Authority (Vilnius, Lithuania). To
ensure its smooth operation the experts will be provided with the office accommodation and necessary
office equipment.
5. Reporting and monitoring
The Twinning Light Project is subject to the same monitoring procedures as the standard Twinning. The
Inception report and a Final Report will be prepared and submitted as provided in the Twinning Manual.
The Inception report covering the first two months of the contract should be submitted during the third
month. The EU experts will prepare the detailed information about their findings respectively reviewing
during the inception phase with the complex work plan for the project.
Final report will be prepared, co-signed and submitted to the CPMA. The final report will be forwarded
no later than three months after the implementation period. The final report will summarize and evaluate
the outcomes, experience and problems encountered, and draft recommendations for the future
developments.
All reports must be written in the standard (EU-PHARE) format in English. The report will include the
results of the project, comparing those with the original objectives and estimate the success of the project.
It will also highlight any lessons learnt.
All these reports will be submitted to the CPMA.
For the coordination and monitoring of the project a Project Steering Committee will be established
comprising of the representatives from the following institutions:
The State Consumer Rights Protection Authority
Association of Lithuanian Banks
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Consumer Education Centre
European Consumer Centre
Financial Services Consumers‟ Association
CPMA and the Ministry of Finance representatives will attend as observers.
The Project Steering Committee will meet once in two months. Frequency of meetings may be altered if
necessary.
Project Language –English.
6. Total budget of the project
The maximum total budget for the project available is 180 000 EUR, of which approximately:
8000 EUR should be allocated to cover interpreting and translation costs;
6250 EUR – for study visit costs;
2000 EUR – for audit costs;
4500 EUR – for contingency costs.
12
LOGFRAME PLANNING MATRIX FOR
Project: Strengthening Consumer Protection in the Area of Financial Services
Contracting period expires: Contract execution period
15/12/2008 expires:
15/12/2009
Total Budget: 0,18 MEUR Transition Facility Budget:
0,18 MEUR
Overall Objective Objectively Verifiable Indicators: Source of Verification
To strengthen consumer rights protection in the area of consumer o Consolidated approach in the area of o EU Commission
credit and to increase consumer awareness of consumer credits. consumer credit market established and reports on the
improved consumer awareness of implementation of the
consumer credit issues consumer credit
directives.
Specific objectives Objectively Verifiable Indicators: Source of Verification Assumptions
o investigation of consumer credit market o EU Commission o Full cooperation between
o investigation of consumer credit market in Lithuania and analysis of
reports; the beneficiary, partners
provisions that regulate consumer credit products following the best
o Reports describing and other related bodies in
practice of the Member States.
project progress; the area of financial
o development of disputes resolution and infliction procedure in o draft recommendations for necessary services.
Lithuania according to the best practice of the EU Member States. amendments in the area of disputes
resolution and infliction procedure in
the field of consumer credit.
o drafting recommendations on development of consumer credit
database system in Lithuania in order to get and provide information o draft recommendations for composed
about creditworthiness of consumers in the EU. information system model of consumer
credit database system in order to get
information about creditworthiness of
consumers.
o training of the staff of the State Consumer Rights Protection o 100 employees of the State Consumer
Authority, consumers, credit providers and NGOs in the field of Rights Protection Authority and 100
consumer credit and preparation of education material. persons from the consumer credit
providers and NGOs trained.
Results Objectively Verifiable Indicators Source of Verification Assumptions.
o research of the Lithuanian consumer credit market and new credit o investigation of consumer credit market o State Consumer Rights Full cooperation between the
products appeared in the market in recent years following the best Protection Authority annual beneficiary, partners and other
practice of the Member States performed; reports; related bodies in the area of
o analysis and recommendations for the necessary amendments for o recommendations for necessary o Manuals and training financial services
the provisions of consumer credit in comparison with the EU best amendments in the area of disputes programs;
practice in the field of consumer credit in order to prepare for the resolution and infliction procedure in project progress
implementation of the new Consumer credit directive prepared; the field of consumer credit; reports,
13
website of State
Consumer Rights
o review and analysis of the information system on consumer Protection
creditworthiness in Lithuania; to make analysis and o proposals and recommendations in the Authority
recommendations for the necessary amendments for the system field of consumer credit database
model of consumer creditworthiness in comparison with the EU system.
best practice in order to prepare for the implementation of the new
Consumer credit directive made;
o 2 seminars for employees of the State Consumer Rights Protection
Authority (100 persons) and 2 seminars for the providers of o 100 employees of the State Consumer
financial services and NGOs (100 persons) in the field of consumer Rights Protection Authority and 100
credit regarding the new Consumer credit directive organised; persons from the consumer credit
training materials prepared. providers and NGOs trained (4
seminars).
o consumer education materials in order to raise consumer awareness
of their rights and responsibilities in the area of consumer credit o material for the booklet about
regarding the new Consumer credit directive prepared; material for consumer rights in the field of
the booklet about consumer rights in the field of consumer credit consumer credit.
prepared.
o 1 five days‟ study visit for 5 representatives of the State Consumer
Rights Protection Authority organised. o 1 study visit for 5 persons organized.
14
Activities Means Source of Verification Assumptions
o to investigate the consumer credit market in Lithuania and find out 1 Twinning Light arrangement for 4 short- o Project reports o Full cooperation between
about new credit products which appeared in the market following the term experts for 120 w. d. of training and the beneficiary, partners
best practice of the Member States. advice. and other related bodies in
o to review the national legislation in the field of consumer credit and the area of financial
make analysis and recommendations for necessary amendments of services
those provisions in comparison with EU best practice in the field of
consumer credit in order to prepare for the implementation of the new
Consumer credit directive;
o to review and analyze the information system of the consumer
creditworthiness in Lithuania in the field of consumer credit and to
make analysis and recommendations for necessary amendments for
the system model of consumer creditworthiness in comparison with
EU best practice in order to prepare for the implementation of the new
Consumer credit directive.
o to organize 2 seminars for the new employees of the State Consumer
Rights Protection Authority (100 persons) and 2 seminars for the
providers of financial services (100 persons) in the field of consumer
credit regarding the new Consumer credit directive; prepare training
materials.
o to prepare consumer educational material in order to raise consumer
awareness of their rights and responsibilities in the area of consumer
credit regarding the new Consumer credit directive, etc. - booklet
about consumer rights in the field of consumer credit.
o to organize 1 five days‟ study visit for 5 representatives of the State
Consumer Rights Protection Authority. The purpose of the study visit
is to strengthen administrative capacity and to share the best practice
in the area of consumer credit.
Smooth process of project
approving and implementation
procedures.
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