All Bank contract templates and Annual Percentage Rate (APR) calculations are aligned with the Consumer Credit Act, minimising the risk of customers invoking the free credit sanction (Article 45 of the Consumer Credit Act – in cases where
a lender violates consumer rights by omitting or incorrectly stating legally required contractual provisions, the borrower may, upon request, repay the credit without interest or other costs). We also take various measures to mitigate this risk in the future.
Access to Information
As Pekao Group, we are committed to delivering services with professionalism and expertise. The solutions we offer are designed to meet our customers’ needs while complying with consumer protection regulations. Therefore, we do not engage in practices that could infringe on collective consumer interests, such as:
- Failing to provide consumers with accurate, truthful, and complete information – for example, by omitting or withholding essential details needed to make an informed decision (such as product pricing or functionality);
- Using unfair contractual terms, engaging in unfair market practices, or participating in acts of unfair competition;
- Misselling, i.e., offering consumers financial services that do not align with their needs or promoting such services in an inappropriate manner.
The most frequently raised concerns regarding consumer credit relate to:
- Violation of Article 30(1)(7) of the Consumer Credit Act – indicating an incorrect total amount payable by the consumer as determined on the date of conclusion of the consumer credit agreement and an incorrect annual percentage rate (APR), arising from the unauthorised (in the consumers’ view) charging of interest by the Bank on the financed commission for granting the credit (i.e., financing and applying interest on the commission for granting the credit) or on other financed costs,
- Violation of Article 30(1)(10) of the Consumer Credit Act – failure to specify the condition determining a change in the cost of credit resulting from early repayment or the application of the free credit sanction.
On February 13, 2025, the Court of Justice of the European Union (“CJEU”) issued its judgment in Case C-472/23 concerning aspects of the application of free credit sanctions. The CJEU left a wide margin of discretion to national courts hearing individual cases. The Group will monitor the development of the CJEU’s and national courts’ case law on free credit sanctions and analyze the impact of these rulings on the Group’s position in pending litigation.
To better understand how our customers may be exposed to increased risks – particularly financial risks – we conduct extensive market research and analyse external reports on consumer attitudes and behaviours. These include studies such as Maison & Partners’ Money Track on Poles’ financial habits, IRC Center’s Young Adults report, Women in Advertising by the Visual & Narrative Institute, and Generation Power by Atena Research & Consulting, which focuses on the financial behaviour of individuals over 50. Insights from these studies allow us to tailor our products and innovative solutions to different age groups.
We also ensure a proper implementation of the MiFID process. MiFID is a sales procedure that begins with the customer completing an investment questionnaire. This questionnaire gathers information about the customer’s preferences, financial needs, investment approach, and ESG-related preferences. Based on the responses, we assess which products fall within the customer’s target market and which do not. Customers may choose from the products that match their profile or, if they opt for a product outside their target market, they receive a clear risk warning from the Bank. This mechanism helps prevent the misuse of financial products.
The operational coordination of MiFID-related processes is managed primarily by the Business Process Team at Pekao Brokerage House and the Investment Process Support Office at the Bank. Oversight of these processes is the responsibility of the Bank’s Management Board. MiFID procedures are reviewed annually or as needed if regulatory changes require updates. Customers must also update their MiFID profile at least once every 12 months.
To ensure compliance, MiFID processes at Pekao Brokerage House are governed by internal policies, including:
- Assessment of the Adequacy of Financial Instruments and Brokerage Services, Investment Advisory Suitability, and Customer Preferences and Needs (MiFID Assessment);
- Information Package: Details on Savings Treasury Bonds;
- Investment Product Distribution Principles at Pekao Brokerage House;
- Procedures for Customer Service Points and Brokerage Service Points, covering customer identification, service standards, meeting documentation, telephone transaction authorisation, compliance checks, and granting of customer authorisations.
For sole proprietors, we ensure that products and services are tailored to their business needs, while meeting key criteria such as financial, income, and accounting standards, financial and credit risk assessment, industry-specific considerations, and age criteria – only adults are eligible for our services.