BOE changes the rules: banks will not be able to give loans

A story that affects everyone's pocket. Until now, some banks took advantage by extending loans or credit cards without the customer explicitly requesting it. This practice, which has caused more than one headache, will be history.

The Government has published a draft law that puts a stop to this bad joke: no entity may grant loans or extend credit cards without the express approval of the customer. A change that worries and, at the same time, reassures.

The legal change that sets limits on banks

New regulatory framework to protect consumers

With rising prices and difficulty making ends meet, many Spaniards have opted to finance their purchases. Faced with this reality, the Ministry of Economy has promoted a Draft Law on consumer credit contracts that adapts Spanish legislation to two European directives.

This means that the granting of personal loans, installment payments, or microcredits is under stricter control, aiming to prevent excessive indebtedness. The key: prior and explicit consent of the consumer.

What does this imply for banks and customers?

Banks will be able to continue offering pre-authorized credits but may not execute them without the client’s permission. This prohibits banking entities from increasing credit card limits or granting new loans without a clear request.

The project still has to go through several approval phases, with a planned implementation date of November 20, 2026. Until then, the usual practice may continue, but with the focus on consumer protection.

The context that has driven the reform

Loss of purchasing power and the tendency to go into debt

The Spanish economic scenario does not help. With stagnant wages and rising prices, many citizens are forced to finance expenses with products like credit cards or personal loans. This reality has highlighted the need for stricter regulation.

Experts from the Ministry of Economy warn that without these measures, over-indebtedness could worsen the financial situation of many families. The new framework aims to avoid risk situations and ensure that the consumer has control over their economic situation.

The influence of the European Union

The regulation also arises in response to European directives that seek to harmonize the regulation of consumer credit across all member countries. The transposition of these directives is key to guaranteeing consumer protection and avoiding abusive practices.

This strengthens the position of clients before financial entities and marks a turning point in how loans and cards function in Spain.

How does this affect consumers’ daily lives?

Greater control and security for users

From now on, when a customer wants a new card or to increase the credit limit, they will have to give their explicit consent. This eliminates unpleasant surprises and prevents debts from being generated without the consumer’s knowledge or will.

A protection that, for many, comes late but is still welcome. Entities will have to adapt their processes to guarantee this consent and document it properly.

Possible challenges for banks

Banks will have to change their way of operating. The advantage for the user is clear, but for entities it may mean more procedures and a certain brake on credit expansion.

Nevertheless, this regulation brings to the table the need for a more transparent and clear relationship between banks and clients, at a time when trust is more necessary than ever.

The reality is that this change will mark a before and after in how Spaniards manage their credit and personal finances. Banks will no longer be able to move without the client’s approval and that, in the end, is a victory for everyone.