* NEW OBLIGATIONS FOR CARD ISSUERS

* CAN NOT STOP BUSINESS DISCOUNTS APPLY THOSE WHO PAY BY CREDIT CARD

* ALWAYS MUST sign vouchers AMOUNT REGARDLESS

* NOT ALLOWED FOR THE ESTABLISHED MINIMUM PAYMENT CARD

By Executive Decree No. 35867-MEIC, published on Tuesday 30 March, comprehensively reformed the rules governing the card market. Thus, a decree of only seven items should now take place all over regulations forty articles, subdivided into nine chapters.

Among the more novel aspects, let us summarize the following, including their legal basis:

1. Debit cards are regulated: New regulations include debit cards. The previous legislation (28,712-MEIC) regulated only with regard to credit cards. (Art. 1)

2. Harassment in the collection: It introduces the concept of bullying or harassment in the collection, defined as "Conduct by a creditor or collection agent to press, molesting or abusing a person, so insistent, repetitive, when manage the collection of a debt. "Therefore, they can not and credit card issuers make arrangements for payment to persons other than the cardholder or his sureties, nor make more than three calls to this effect. The noncompliance are presented penalties ranging from 10 to 40 base salaries. (Articles 35 and 38 of Decree 35867-MEIC and art. 57 of the Law on Promotion of Competition and Effective Consumer Protection.)

3. Interpretation in doubt: In case of doubt on the interpretation of any contractual provision, adopting the legal principle of protecting the weaker party, which means it is resolved in favor of the cardholder. (Art. 4)

4. Statements: In case of credit cards should be sent every month in the five days after the cutoff date. In case of debit cards should be sent at least every three months. Is granted within three months issuers to comply with this requirement. (arts. 13, 19 and transitional II).

5. Section IMPORTANT NOTICE: Statements necessarily include this new section, so the issuer can inform the customer of any variation in the conditions of his contract. (Item d. - Art. 13).

6. Modifications of contracts: The issuer is obliged to notify any changes in contracts and tarjetahbiente has two months to reject it. If no answer, it shall be approved the change. When the proposed changes significantly affecting the assets of the guarantor, such as interest rate, credit limit and term of the contract must also be reported to him, and if you do not agree, be relieved of its obligations only in respect of such amendments. If the cardholder decides not to maintain the contractual relationship, the issuer may only collect the outstanding liability at the rate of interest and conditions precedent to the proposed amendment. (Art. 10)

7. Charges for collection management: Only apply to accounts in arrears and must not exceed the cost of three calls or communications. (Art.18)

8. Privacy: It regulates the right to protection of personal data for financial institutions to obtain delivery of their services. The processing of personal data for purposes other than those expressly set forth in the Act, require the consent, free and informed of the cardholder, who may require access to such personal information and require immediate correction of incorrect data.

9. Free provision of insurance: The issuers of credit and debit cards may not require that insurance contracts are predetermined clients with an insurer or insurance intermediary. Where the issuer is the policyholder of a policy can not shift the costs of premiums for insurance to the cardholder. (Art. 7)

10. Minimum payment: This should cover both the interest rate agreed upon, such as commissions or fees and principal amortization, according to the term of financing. (Item e of art. 15)

11. Signatures of voucher: The business establishments should always require the signature of the cardholder, regardless of the amount of purchase. (Item f) of art.26)

12. Other obligations of affiliated businesses: They should always request a photo ID, may not collect charges for use of the card, nor eliminate the use of discounts. No minimum purchase may provide. (Art. 26)

13. Payment must make an instant overview of the cardholder: Plants must always have the view of consumers processing machines card transactions. In places where the payment is made elsewhere than at home, for example, restaurants, shall have the right technology to safely use wireless devices.

14. Commissions for the use of ATMs: In prior to any transaction, on the screens of ATMs should warn the user of the specific costs of the same. Is granted for this purpose within six months for the programming of this improvement in ATMs. (Art. 28)

15. Scheme Liability: All the institutions and participants involved in the transaction processing credit and debit cards, are required concurrently or independently of the existence of guilt in front of the cardholder for any harm he causes, including cases theft of safety data, duplication of the card or charges of unauthorized charges. (Art. 29)

16. Deadline for claim: Cardholders will have a period of 60 working days to claim any aspect of the statement or other transactions. That period shall run from the date he becomes aware of the fact claimed. The management will not require any formality and the challenge procedure may not take more than 120 calendar days from receipt thereof, in the case of international brands, and more than 60 calendar days when it comes to administrative matters attributable to the local issuer.

17. Comparative study of credit cards: In February, May, August and November each year, the MEIC published a comparative study of credit cards and accounts are handled by debit cards including at least: interest rate financial moratoria and passive, commissions and other charges, additional benefits that do not involve additional cost to the cardholder, coverage, term of payment.

The information was obtained from the website puntojuridídico.com