Circular 20/2011 — Modifies Circular 23/2009

CIRCULAR 20/2011
Mexico, D.F., November 1, 2011.
TO CREDIT INSTITUTIONS:
SUBJECT: MODIFICATIONS TO THE RULES FOR DIRECT DEBIT ON BANK MONEY DEPOSIT ACCOUNTS

The Bank of Mexico, with the objective of continuing to promote the sound development of the financial system and protecting the interests of the public, considers it convenient to modify the regulation applicable in the matter of direct debit, in order to address the request made by the Association of Banks of Mexico, A.C., to the effect of adjusting the content of the format that interested parties must use to request direct debits, with the objective of giving them greater options to make periodic payments of credit cards charged to bank money deposit accounts.

For the above, based on articles 28 of the Political Constitution of the United Mexican States, sixth and seventh paragraphs; 24 and 26 of the Bank of Mexico Law; 48 and 57 of the Credit Institutions Law; 16 and 22 of the Law for Transparency and Ordering of Financial Services; 4th first paragraph, 8th fourth and seventh paragraphs, 10 first paragraph, 12 Bis in relation to 20 fraction XI, 14 Bis in relation to 17 fraction I, 14 Bis 1 first paragraph in relation to 25 Bis 1 fraction IV and 25 Bis 2 fraction II, of the Internal Regulations of the Bank of Mexico, which provide for its attribution to issue provisions through the General Directorate of Strategy, Risks and Payment Systems, the General Legal Directorate and the General Directorate of Affairs of the Financial System, respectively, as well as Second of the Agreement on the Assignment of Administrative Units of the Bank of Mexico, fractions III, IX and XI; has resolved to modify Annex 1 of Circular 23/2009 which contains the “Direct Debit Rules on Bank Money Deposit Accounts”, to remain in the following terms:

“ANNEX 1
FORMAT TO REQUEST DIRECT DEBIT
___ of ___________ of 20___.
I request and authorize that, based on the information indicated in this communication, periodic charges be made in my account as follows:

1. Name of the provider of the good, service or credit, as applicable, which intends to be paid:
   _________________________________________________________.

2. Good, service or credit, to be paid: _____________________________________________. If applicable, the identification number generated by the provider (optional data): _____________.

3. Frequency of payment (Billing) (Example: weekly, biweekly, monthly, bimonthly, semiannual, annual, etc.):
   ___________________________________________________________________ or, if applicable, the specific day on which the payment is requested to be made: ____________________________.

4. Name of the bank that holds the checking or savings deposit account in which the charge will be made:
   ______________________________________.

5. Any of the following Account Identification Data:
   Debit card number (16 digits): ________________________________________________________; Standardized Banking Key (“CLABE”) of the Account (18 digits): __________________________________, or Mobile phone number associated with the account: ________________________________________________________.

6. Fixed maximum amount of the charge authorized per billing period: $_______________________.
   Instead of the fixed maximum amount, in the case of the payment of revolving credits associated with credit cards, the customer may opt to authorize one of the following charge options:
   (Mark with an X the option that, if applicable, corresponds) The amount of the minimum payment of the period: ( ), The total balance to not generate interest in the period: ( ), or A fixed amount: ( ) (Include amount) $___________________.

7. This authorization is for an indefinite term ( ), or expires on: ___________________________.
   I am aware that at any time I may request the cancellation of this direct debit at no cost to me.
   Sincerely,

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(CLIENT NAME OR BUSINESS NAME)”

TRANSITORY
SINGLE. This Circular shall enter into force on November 4, 2011.