Country Manual Credits
New Caledonia – Update 2025
BRP has updated its Country Manual Credits for
New Caledonia out of Credit Institution’s Country of Establishment (RT, BT & Def)
| Source of changes | Answers |
|---|---|
| Law / Regulation | No |
| New Position of the Authorities | Yes |
| Evolution of Expert’s Interpretation | No |
Regulatory Template
Material changes
Following the publication of the decision rendered by the French Cour de Cassation on the 15th of November 2023 (see Alert BRP France 5/2023) some answers regarding activities undertaken with qualified prospects have been changed.
Indeed, the decision confirms that the exceptions, listed under Article L.341-2 of the MFC, to the direct marketing rules can also be used by third countries (and non-passported EEA financial institutions).
This approach is also relevant when acting in and into New Caledonia. As a consequence, the rules concerning direct marketing do not apply, notably, to contacts with qualified prospects in and into New Caledonia. The monopoly rules remain, however, relevant when activities take place on the new Caledonian territory.
You will find below a summary of some of the main changes resulting from this development in case law:
In New Caledonia:
Prospecting activities relating to credit services undertaken occasionally with qualified prospects in New Caledonia, actively or passively, are now a grey zone. A cautious approach is recommended as they could be qualified as negotiation of credit services, due to the broad interpretation of the concept of negotiation by the authorities.
Into New Caledonia:
Due to the monopoly rules, active negotiation activities via remote means of communication into New Caledonia are a grey zone for qualified prospects but seem permitted if undertaken on their initiative. The activities should in any case remain occasional, due to the “bundle of indicators” method used by the authorities to determine if a licensable activity has been undertaken on the New Caledonian territory. The Credit institution should, in particular, avoid systematically sending credit agreements to be signed in New Caledonia. For the same reasons, the “On an occasional basis” condition has also been added where relevant for activities undertaken with non-qualified prospects via remote means of communication.
Non-material changes
In the Behaviour Template and the Regulatory Template the condition “Local provisions on the annual percentage rate of charge must be respected” has been added where relevant, to reflect what was already indicated in the RT, i.e. that the local provisions on the annual percentage rate of charge are applicable in any scenario in business relationships with New Caledonian consumers.
Finally, the condition “No disbursement of the credit on the client’s bank account in the target country” has been deleted from the Behaviour Template, as this is a general recommendation that should in any case always be complied with and is not linked only to a few activities.
For more information, please contact us: info@brpsa.com
Geneva, April 3rd 2025