New Consumer Credit Act 2026: Interest Rate Caps and Consumer Protection
On 7 January 2026, the Council of Ministers approved the Draft Bill on Consumer Credit Agreements, which is currently being processed following the public consultation period. This reform transposes the European directives on consumer credit and distance financial services, transforming the regulatory framework for the sector.
Among the main new features are:
• Provisional cap of 22 percentage points for the APR on consumer credit, including existing revolving card transactions
• Reservation of activity: only entities authorised and supervised by the Bank of Spain may grant credit, introducing two new categories of operators: EFCALs (Limited Scope Credit Institutions) and authorised high-cost lenders
• Special regime for high-cost loans (those exceeding the market average by 10 points): monthly limit of 4%, minimum of 3 monthly payments and 24-hour cooling-off period before signing
• Transparency in distance contracts: obligation to include a visible withdrawal function and express prohibition of manipulative practices (dark patterns)
• Mandatory credit history check for high-cost loans to prevent over-indebtedness
• Full legal nullity for contracts granted by unauthorised operators
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