The new rules have been developed to incorporate the European Union's requirements into Latvian legislation. As explained by the Ministry of Economics, there were so many changes that it was decided to adopt new rules instead of amending the previous ones. ### Withdrawing from a Contract — Online One of the main innovations concerns the right of withdrawal. If a contract for a financial service is concluded online, the company must ensure the ability to **submit a withdrawal electronically**. No specific technical option is established. This could be a special button next to the contract, a form on the website, a function in the personal account, or another online solution. After sending the withdrawal, the client must receive confirmation of its receipt, indicating the content of the statement, date, and time. The withdrawal period will be **14 calendar days**, and for transactions related to personal pensions, it will be **30 days**. There will be no need to explain the reason for the withdrawal, and no penalties should be applied for this. ### More Information Before Signing Before concluding a remote contract, financial service providers will have to provide the client with more detailed information. In particular, the person must be warned about the consequences of overdue or missed payments. It will also be necessary to inform whether automated decision-making is used in determining or changing the price of the service, and in relevant cases, about the declared environmental or social goals of the investment strategy. The information must be presented clearly and accessibly, including for people with disabilities and visual impairments. If the necessary information is received by the client less than a day before the contract is concluded, the company will have to remind them of the possibility to withdraw from the contract within **one to seven days** after its execution. ### Chatbots Cannot Fully Replace Humans Specific requirements are introduced for artificial intelligence. If the terms of the financial service are explained to the client by a chatbot or generative AI, the company must ensure human participation upon the consumer's request. Moreover, internet services are prohibited from being designed in such a way as to push the client towards a specific decision or make withdrawal difficult. For example, one option cannot be visually made significantly more prominent than another, constantly requiring the choice to be repeated, or creating a situation where purchasing the service is significantly easier than withdrawing from it. The new requirements will apply not only to financial services. Companies entering into contracts with clients online will also have to ensure the ability to withdraw from them remotely. This function must be available throughout the entire period during which the consumer has the right to terminate the contract.
