Offering financial services over the Internet: What is possible and how to protect consumers?

Modern means of communication are increasingly being used for the provision of financial services. This paper shows that although in Belgium it is legally possible to conclude an agreement relating to financial services completely online, in practice it often remains impossible to perform all legal acts to conclude the contract electronically. However, this does not mean that Belgian consumers actually have to go to their financial institution to sign the contract, since many institutions enable consumers to enter into a distance contract. In view of this, this paper also aims at examining whether the techniques which are being used by the legislator to protect consumers – i.e. the obligation to provide certain information and the right to withdraw from the contract – are effective.