by Yasar Al-Hunaiti, Abeer Mazen Al-Amayreh, Omar Al-makhzoumi, Marwa ALSayed
ABSTRACT
In recent times, there has been a significant increase in the demand for loans to satisfy consumer desires for goods, primarily due to the accessibility of consumer loans without taking into account the potential risks involved. Given the absence of legal regulations governing these loans, it became imperative to conduct a study on this subject and examine the legal provisions pertaining to such loans. Alternatively, it was necessary to explore general loan regulations to identify provisions applicable to this specific type of loan. Therefore, the objective of my study is to shed light on the legal safeguards that can be relied upon to protect the rights of borrowers of these loans by analyzing the provisions of Jordanian law and comparing them with those of other jurisdictions. The study focuses on examining the legal safeguards designed to protect consumers’ rights from the arbitrary practices of banks and financing companies, recognizing the consumer as the party with less bargaining power in the contractual relationship. Additionally, the study also encompasses the legal safeguards put in place to protect the rights of banks and financing companies, ensuring their ability to collect debts from borrowers. Furthermore, practical applications of these legal provisions are explored in the study. Ultimately, the study arrives at several conclusions and provides various recommendations aimed at establishing adequate safeguards and fostering a secure environment for individuals engaging with these loans.
