Argentina’s central bank, the Banco Central de la República Argentina (BCRA), is launching a new automated debt collection mechanism called Cobros por Transferencia, according to financial sector reports. The tool authorizes financial institutions to debit pending loan payments directly from a delinquent customer’s bank or virtual wallet account starting next Monday.
How Cobros por Transferencia Works
To activate the mechanism, the borrower must explicitly authorize the financial institution to perform automatic debits, according to BCRA regulations. Customers retain the right to revoke this consent immediately at any time. To protect borrowers from over-indebtedness, loan installments must remain fixed and equal, capped at a maximum of 30% of the individual’s income.
If loaned funds are deposited into an account at a different bank than the lender, the issuing institution holds the authority to debit the pending installment directly from that destination account during payment delays. Creditor entities must notify users one day in advance before executing a debit. Operations are strictly limited to an initial attempt followed by a maximum of two re-attempts at 48 and 96 hours to prevent abusive collection practices.
Industry Criticisms and Implementation Hurdles
This limitation creates practical operational doubts, as few institutions want to transfer loan funds directly to a competing direct rival’s account. Furthermore, the framework prohibits lenders from computing interest penalties during payment delays. The regulation also restricts debit operations on balances held in remunerated accounts, mutual investment funds (fondos comunes de inversión), and MEP dollar purchases.
Asymmetry Concerns for Virtual Wallets
Following the BCRA’s refusal to grant a deadline extension, banks and fintech platforms must make their systems interoperable by Monday to accommodate the new payment links, although institutions are not mandated to use the tool for their proprietary loan portfolios.
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