Revolving Credit in Den Haag
Revolving credit offers residents of Den Haag a flexible borrowing option with a credit limit from a bank or lender. Within this limit, you can withdraw funds as needed, and after repayment, the amount becomes available again. Interest rates vary and require minimum monthly payments. Ideal for unexpected expenses in the city, but discipline is key to keeping interest costs low.
What does revolving credit mean for residents of Den Haag?
With revolving credit, the lender makes a maximum credit limit available without requiring you to draw it all at once. Withdrawals are flexible via bank transfer or debit card, and the available space is restored after repayment. Unlike a personal loan, it has no fixed term and continues until terminated by you or the bank.
Banks and credit providers in Den Haag often offer this with limits from €2,500 to €50,000, based on your financial situation and BKR check. Example: As a Den Haag resident, you opt for a €10,000 limit. For a home repair in the Binckhorst, you borrow €3,000 and repay €150 monthly (interest and principal), freeing up that amount again.
Legal framework for revolving credit
Revolving credit is governed by consumer protection rules under the Financial Supervision Act (Wft), Section 4.7 (articles 4:200-4:287 Wft), and Dutch Civil Code Book 6 (articles 6:237-6:250 BW).
Since 2011, under the European Consumer Credit Directive (2008/48/EC), you must receive an ESIS (European Standardised Information Sheet on Consumer Credit Agreements) detailing interest, duration, and costs. For loans up to €75,000, usurious interest is prohibited (art. 6:237(2) BW). The AFM oversees compliance and imposes sanctions for violations.
Revolving credit compared to other loans
Revolving credit stands out for its flexibility but costs more due to variable rates. Overview:
| Aspect | Revolving credit | Personal loan | Payday loan |
|---|---|---|---|
| Interest | Variable (often 6-12% effective) | Fixed (often 4-8% effective) | Very high (up to 14% per month) |
| Repayment | Flexible, minimum monthly | Fixed monthly amounts | Within 30 days |
| Term | Ongoing, no fixed end date | Fixed (1-10 years) | Short (max 30 days) |
| Drawdown | Repeatedly possible | Once only | Once only |
| Max amount | Up to €75,000 | Up to €75,000 | Max €1,000 (since 2021) |
Read more about consumer credit and personal loan.
Rights and obligations with revolving credit
Rights for consumers in Den Haag
- 14-day cooling-off period: Cancel free of charge (art. 6:230m BW).
- Pre-contractual information: ESIS with APR (art. 6:230g BW).
- Early repayment: Maximum 1% penalty (art. 6:239 BW).
- No excessive penalties for arrears.
Your obligations
- Repay at least 2% of balance + interest monthly.
- Provide accurate income and debt information.
- BKR registration for new credits.
Lender's obligations
- Risk assessment (art. 4:250 Wft).
- Monthly balance and interest statements.
- 1-month notice period (art. 6:249 BW).
Real-life cases of revolving credit in Den Haag
Case 1: The Jansen family from Den Haag's Schilderswijk activates a €15,000 credit line. They draw €4,000 for a kitchen upgrade. At 8% interest: €32 interest + €80 repayment per month. After an extra €2,000 repayment for a trip to Scheveningen – convenient, but annual interest around €500.
Case 2: Mr. De Vries loses his job and misses a payment. The bank grants deferral after discussion, no interest hike. Without action: debt collection and BKR issues.
Case 3: Overdrawing the limit incurs 14% overdraft interest. Ms. Smit from Den Haag complains to the bank and AFM; interest corrected after reviewing the annual statement.
Tips for safe revolving credit in Den Haag
Avoid pitfalls:
- Compare: Use Independer or AFM register for the best rates.
- Check BKR: Via bkr.nl.
- Budget: Only borrow what you need; extra repayments save money.
- Keep documents: ESIS and statements.
- Seek help: Juridisch Loket Den Haag or District Court of Den Haag for disputes.
- Alternatives: Saving or personal loan for larger amounts.
Related topics: BKR registration.
Veelgestelde vragen
Wat is mijn retourrecht?
Bij online aankopen heb je 14 dagen retourrecht zonder opgaaf van reden, tenzij de wettelijke uitzonderingen gelden.
Hoe lang geldt de wettelijke garantie?
Goederen moeten minimaal 2 jaar meewerken. Defecten die binnen 6 maanden ontstaan worden verondersteld al aanwezig te zijn.
Kan ik rente eisen over schulden?
Ja, je kunt wettelijke rente eisen (momenteel ongeveer 8% per jaar) over het openstaande bedrag.
Wat kan ik doen tegen oneerlijke handelspraktijken?
Je kunt klacht indienen bij de consumentenbond, de overheid of naar de rechter gaan.
Wat is een kredietovereenkomst?
Een kredietovereenkomst regelt hoe je geld leent, wat de rente is, en hoe je dit terugbetaalt.