The project presented under the previous administration sought to establish new parameters for the development of contracts between issuers and cardholders and to set limits on the interest charged.
"The project would put a ceiling of 25% on the rate of default interest and require the company issuing the credit card to use security mechanisms that allow the accreditation of the credit or debit card user to be monitored to avoid detrimental affects to the user.
In the current parliament there are now other bills seeking to regulate the issuer-client relationship in regards to credit cards.", published Elfinancierocr.com
Source: elfinancierocr.com
More on this topic
July 2009
It will regulate the relationship between cardholders and issuers, by defining rules regarding contracts and interest rates.
With the new law, interest rates shall not be more than 10 points above the effective weighted average rate calculated by the Central Bank.
Guadalupe Hernández writes in Elsalvador.com: "For example, the average interest rate for a one year loan is 9.2%, so credit card rates could not be above 19.2% with the new law. However, in reality issuers charge interest rates that fluctuate from 29% to 38.9% for a $1.000 loan."
October 2009
Its main objectives are setting fixed interest rates and limit customer's credit card debt.
The project also proposes to regulate credit card issuers, by forcing them to obtain a banking license awarded by the Banking Superintendence.
From laestrella.com.pa: "Alcibiades Vásquez, project sponsor, considers regulation is needed, as there is a lot of abuse, and no limits for credit nor interests".
August 2009
The new law will oversee issuance, operation, administration and closure of credit and debit cards.
Some of the aspects included in the new legislation will be commissions, fees for late payments and interest rates.
Representative Blanca Coto commented in newspaper ElSalvador.com: "We intend to protect the user from abuses, … and obviously to lower interest rates".
October 2011
The Costa Rican Ministry of Economy, Industry and Commerce has released a quarterly survey of credit and debit cards relating to data up to April 2011.
The quarterly survey conducted by the Ministry of Economy, containing data up to April, shows that there are 29 credit card issuers in the country, which together offer the market a total of 369 types of cards.
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