Directive (EU) no. 2021/2167 (also known as the Secondary Market Directive) (the “Directive”), published in the Official Journal of the European Union of 8 December 2021.

1.Directive (EU) no. 2021/2167

Directive (EU) no. 2021/2167 (also known as the Secondary Market Directive) (the “Directive”), published in the Official Journal of the European Union of 8 December 2021, aims at (i) harmonizing the regime applicable to credit servicers and credit purchasers which acquire the receivables arising from non-performing credit agreements and (ii) supporting the development of a secondary market for defaulted credits in the European Union, while ensuring that the assignment of such receivables does not cause prejudice to the rights of debtors.

The Directive seeks to remove national barriers to the transfer of defaulted credits, liberalizing their sale by credit institutions to so-called “credit purchasers” (individuals or entities that perform credit purchase activity in the course of its trade, business or profession) and facilitating the due diligence activities by the potential credit purchasers. The objective is to increase competition, also on a cross-border basis, encouraging the entry of new players by opening the domestic markets (with positive effects also in terms of liquidity for the secondary market of defaulted credits)…

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