What are my rights as a borrower?

As a borrower, you are protected by consumer credit laws that vary by country, but certain universal rights apply in most regulated financial systems. These include:

• Right to transparent information – You must be told the APR (Annual Percentage Rate), total repayment amount, installment schedule, and any fees upfront.
• Right to fair treatment – No harassment, threats, or deceptive collection practices.
• Right to privacy – Your contacts cannot be harassed; your data cannot be misused.
• Right to dispute errors – You can challenge incorrect charges or reporting.
• Right to prepayment – You may repay early without excessive penalties (in many jurisdictions).
• Right to a written contract – In a language you understand.

*Maria borrows $200 from a licensed microfinance bank. The loan agreement clearly states a 10% interest rate and a 3-month term. Midway, the lender tries to add an "administrative fee" not mentioned before. Maria cites her right to transparent pricing, and the lender backs down.*

BORROWER RIGHTS FLOWCHART

Apply for loan
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Receive Truth in Lending disclosure (APR, fees, total cost)  ← Right #1
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Sign clear contract ← Right #5
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Repay on schedule
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If dispute → Right to dispute ← Right #4
If harassment → Report to consumer protection agency ← Right #2
If early repayment → No excessive penalty ← Right #6