Law of Financial Intermediaries modified in El Salvador

Starting in January 2009, credit cooperatives and federation will be able to issue credit cards and checkbooks with the approval of the Financial System Superintendence.

Monday, May 21, 2012

The Legislative Assembly, in full session, approved the observations that the President of the Republic, Elías Antonio Saca, made to the Law of Non-bank Financial Intermediaries.
They also gave 30 days for those entities interested in offering those services to present all documentation and other requirements in order function.

More on this topic

Banking Sector Against Credit Card Law Reform

September 2011

The Salvadoran Banking Association is opposing the adoption of a reform which sets a ceiling on interest rates that can be charged for credit card use.

Private banking sector representatives noted that the changes were approved without having performed prior technical analysis and this threatens their legal certainty.

New rules for credit cards in Costa Rica

December 2008

Congress is studying the "Credit and Debit Card Market Regulation" proposed law.

One of the elements of the new law is to provide better information on interest rates and charging conditions, like not charging interests when complains are being resolved.

According to the nacion.com article: "Advertising, marketing practices, detail on balances and interests, contractual changes and internet shopping are some of the aspects of credit cards that may face regulation, should the law be approved... It will be the first law to regulate this activity in Costa Rica, and would put the country up to date with similar laws that exist in other nations".

El Salvador bank to return money from unjust service charges

July 2008

El Salvador's Defender of Consumers announced that banks and credit card issuers that have been charging unfair rates have promised to correct their irregularities.

Evelyn Jacir de Lovo, who was commissioned by the Defender of Consumers, said, "The reply we received was very positive.

Regulation on Credit Card Interest Rates

October 2011

The Financial Committee of the Legislative Assembly in El Salvador has began to study a bill which will apply to "all financing operations related to the procurement of goods and services."

The item will be incorporated into the usury bill, that will be analyzed in Congress .

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