Circular No. 4009 — Establishes Temporary and Exceptional Measures for the Formation and Operation of Consortium Groups Due to the Covid-19 Pandemic and Amends Circular No. 3,432 of February 3, 2009

The Collegiate Board of the Central Bank of Brazil, in a session held on April 28, 2020, based on Articles 6 and 7 of Law No. 11,795 of October 8, 2008,

RESOLVES:

Article 1. Consortium administrators are hereby permitted, due to the Covid-19 pandemic, on a temporary and exceptional basis:

I - to form consortium groups with differentiated credit values, provided that the credit of lower value, valid or defined on the date of the group's formation, is not less than 30% (thirty percent) of the credit of higher value, observing the other rules provided in the regulation;

II - to extend the ordinary deadline of up to 90 (ninety) days for the formation of consortium groups referred to in § 1 of Article 15 of Circular No. 3,432 of February 3, 2009, to:

a) up to 180 (one hundred and eighty) days, for groups in formation with the start of quota sales until September 30, 2020;

b) up to 150 (one hundred and fifty) days, for groups in formation with the start of quota sales between October 1 and October 31, 2020; and

c) up to 120 (one hundred and twenty) days, for groups in formation with the start of quota sales between November 1 and November 30, 2020;

III - to carry out collection procedures and enforcement of guarantees given to consortium operations, referred to in Article 21 of Circular No. 3,432 of 2009, until September 30, 2020, provided that the consortium contracts do not have specific contractual deadlines for the adoption of such measures; and

IV - the payment of the credit in cash or by means of credit in a deposit account or in a payment account held by the consortium members who, until December 31, 2020, have been selected and have not yet used the credit to acquire goods or services, upon full settlement of obligations with the group and with the administrator.

§ 1. The provisions of items I and II of the caput:

I - apply to quotas sold in consortium groups that, on the date of entry into force of this Circular, are in the formation period, provided there is a renegotiation of the contractual terms, through express and unequivocal manifestation by the adherent; and

II - require that consortium groups be formed by March 31, 2021.

§ 2. In the event of disagreement by the adherent regarding the new contractual conditions referred to in § 1, item I, the total amount of values charged, plus the net earnings from the financial investment, must be refunded on the next business day following the end of the 90 (ninety) day period referred to in item II of the caput, or on the date of the group's formation, whichever occurs first.

§ 3. The provision in item IV of the caput applies exclusively to groups already formed on the date of entry into force of this Circular.

Article 2. Circular No. 3,432 of 2009 shall be amended as follows:

“Article 41-A. In situations where this Circular provides for the payment of the credit to the consortium member in cash, such payment may be made by means of credit in a deposit account or in a payment account held by the member.” (NR)

Article 3. This Circular enters into force on the date of its publication.

Otávio Ribeiro Damaso Director of Regulation