The government has adopted a draft law amending the Civil Code and the Consumer Credit Act, which is intended to facilitate access to credit for farmers.
Prime Minister Donald Tusk wants to eliminate barriers to farm development, and the way to do this is to make it easier for farmers to access credit. To this end, the Council of Ministers intends to change the Civil Code and the Consumer Credit Act.
The bill adopted by the government provides that credit agreements concluded with farmers will not be covered by the provisions of the Consumer Credit Act, and farmers will be subject to protection under the Civil Code. This concerns loans taken out for direct agricultural activity. The authorities explain that in this way they want to eliminate difficulties and legal uncertainty related to granting loans to farmers. According to Prime Minister Tusk, the current regulations assume “excessive consumer protection” and are a hindrance for farmers.
The provisions of the Consumer Credit Act (PAP) apply primarily to cash and installment loans, which are designed to have a much simpler structure and universal assumptions. This is a standardized financial product, addressed to an unlimited recipient. The financing of agricultural activities is completely different. It often requires an individual approach, for example in the method of loan repayment (seasonal installments) or a grace period for repayment.
– it was explained in the justification of the project.
The draft proposes deleting the provisions of the Consumer Credit Act, pursuant to which it covers contracts concluded with farmers. It also proposes amending one of the provisions of the Civil Code in such a way that they are not applied to contracts concluded with farmers, based on which they receive support from public funds, funds from the National Economy Bank, the European Investment Bank and the European Investment Fund. At the same time, contracts concluded with farmers will continue to be subject to other provisions of the Civil Code.