Proportionality

In order to ensure a proportionate application of these guidelines, the following criteria should be taken into account:

• a. for Section 4, the criteria as set out in Title I of the EBA Guidelines on internal governance;
• b. for Section 5, the size, nature and complexity of the credit facility, without prejudice to Articles 18 and 20 of Directive 2014/17/EU and Article 8 of Directive 2008/48/EU;
• c. for Section 7, the size, nature and complexity of the credit facility and the collateral;
• d. for Section 8, the size, nature and complexity of the institution; the size, nature, complexity of the credit facility; and the type, size and risk profile of the borrower.

In relation to lending to consumers, institutions and creditors should ensure that the application of paragraph 16 does not impair the objective of consumer protection, as laid down in Directive 2008/48/EU, Directive 2014/17/EU and further specified in these guidelines, and in particular in Section 5.1 and Sections 5.2.1, 5.2.2, 5.2.3 and 5.2.4.