Case C-143/23, Mercedes-Benz Bank and Volkswagen Bank: Judgment of the Court (Fourth Chamber) of 30 October 2025 (request for a preliminary ruling from the Landgericht Ravensburg – Germany) – KI, FA v Mercedes-Benz Bank AG, Volkswagen Bank GmbH (Reference for a preliminary ruling – Consumer protection – Credit agreement for the purchase of a motor vehicle – Directive 2008/48/EC – Article 10(2)(l) – Requirements relating to the information to be included in the agreement – Obligation to specify the late-payment interest rate – Article 14(1) – Right of withdrawal – Commencement of the withdrawal period in the absence of any reference to the late-payment interest rate – Abusive nature of the exercise of the right of withdrawal – Consequences of exercising the right of withdrawal in the context of a credit agreement linked to a vehicle purchase agreement – Consumer’s obligations towards the creditor – Method of calculating compensation for loss of value of the financed asset – Article 14(3)(b) – Payment of interest following withdrawal from a credit agreement linked to a contract for the supply of goods)
Date: 2025-10-30
Institutions: Court of Justice
Subjects: consumer credit, consumer information, interest, motor vehicle, purchase, termination of a contract, unfair terms of contract








C_202506588EN.000101.fmx.xml












Official Journal of the European Union


EN
C series













C/2025/6588


22.12.2025






Judgment of the Court (Fourth Chamber) of 30 October 2025 (request for a preliminary ruling from the Landgericht Ravensburg – Germany) – KI, FA v Mercedes-Benz Bank AG, Volkswagen Bank GmbH


(Case C-143/23,
                (1)
Mercedes-Benz Bank and Volkswagen Bank)

(Reference for a preliminary ruling - Consumer protection - Credit agreement for the purchase of a motor vehicle - Directive 2008/48/EC - Article 10(2)(l) - Requirements relating to the information to be included in the agreement - Obligation to specify the late-payment interest rate - Article 14(1) - Right of withdrawal - Commencement of the withdrawal period in the absence of any reference to the late-payment interest rate - Abusive nature of the exercise of the right of withdrawal - Consequences of exercising the right of withdrawal in the context of a credit agreement linked to a vehicle purchase agreement - Consumer’s obligations towards the creditor - Method of calculating compensation for loss of value of the financed asset - Article 14(3)(b) - Payment of interest following withdrawal from a credit agreement linked to a contract for the supply of goods)
(C/2025/6588)
Language of the case: German

Referring court

Landgericht Ravensburg

Parties to the main proceedings


Applicants: KI, FA

Defendants: Mercedes-Benz Bank AG, Volkswagen Bank GmbH

Operative part of the judgment







1.


Article 10(2)(l) and point (b) of the second subparagraph of Article 14(1) of Directive 2008/48/EC of the European Parliament and of the Council of 23 April 2008 on credit agreements for consumers and repealing Council Directive 87/102/EEC
must be interpreted as meaning that the withdrawal period, provided for in Article 14(1) of that directive, is not to begin where the credit agreement does not state, as a specific percentage, the late-payment interest rate applicable at the time of the conclusion of the agreement, and that this is the case as long as that information has not been duly communicated to the consumer.










2.


Article 14(1) of Directive 2008/48
must be interpreted as precluding the creditor from validly claiming that there has been abusive exercise, by the consumer, of the right of withdrawal provided for in that provision due to that consumer’s behaviour between the conclusion of the agreement and the exercise of the right of withdrawal, or even after that exercise, where a statement, as a specific percentage, of the late-payment interest rate applicable at the time of the conclusion of that agreement, as required by Article 10(2)(l) of that directive, was not included in the credit agreement and, further, was not duly communicated at a later stage.










3.


Article 14(1) of Directive 2008/48, read in the light of the principle of effectiveness,
must be interpreted as precluding national case-law according to which, where a consumer exercises his or her right of withdrawal in respect of a credit agreement linked to a vehicle purchase agreement, the amount of compensation for loss of value owed by that consumer to the creditor when the vehicle is returned is calculated by deducting from the sale price charged by the dealer at the time of the consumer’s purchase of the vehicle the purchase price paid by the dealer at the time of the return of that vehicle, provided that that calculation method includes factors unrelated to the consumer’s use of the vehicle.










4.


Directive 2008/48
must be interpreted as not completely harmonising the rules relating to the consequences of the consumer’s exercise of his or her right to withdraw from a credit agreement linked to a vehicle purchase agreement.










5.


Article 14(1) of Directive 2008/48
must be interpreted as not precluding national legislation under which a consumer who, after withdrawing from a consumer credit agreement linked to a vehicle purchase agreement, is required to pay the interest provided for in that credit agreement for the period between the payment of the loan proceeds to the seller of the financed vehicle and the date of the return of the vehicle to the creditor or seller.






(1)  
            OJ C 235, 3.7.2023.


ELI: http://data.europa.eu/eli/C/2025/6588/oj
ISSN 1977-091X (electronic edition)