Circular 43/2010 — Modifies Circular 34/2010

Monday, December 20, 2010 OFFICIAL GAZETTE (Second Section) 88

CIRCULAR 43/2010, addressed to multiple banking institutions, limited-object financial societies, and regulated multiple-object financial societies, regarding modifications to the Credit Card Rules.

At the margin, a logo stating: Bank of Mexico.

CIRCULAR 43/2010

TO THE INSTITUTIONS OF
MULTIPLE BANKING, LIMITED-OBJECT
FINANCIAL SOCIETIES AND REGULATED
MULTIPLE-OBJECT FINANCIAL SOCIETIES:

SUBJECT: MODIFICATIONS TO THE CREDIT CARD RULES

The Bank of Mexico, taking into account that various credit card issuers have expressed the need to make adjustments to their calculation systems to determine the minimum payment amount for these cards, with the objective of promoting the healthy development of the financial system and protecting the interests of the public, considers it convenient to establish a transition period for the application of section 4.1 of the "Credit Card Rules" contained in Circular 34/2010, which was published in the Official Gazette of the Federation on November 12, 2010.

Therefore, based on what is provided in articles 28 of the Political Constitution of the United Mexican States, sixth and seventh paragraphs; 24 and 26 of the Bank of Mexico Law; 18 Bis 7 and 22 of the Law for Transparency and Ordering of Financial Services; 48, 48 Bis 2 and 103, penultimate paragraph, of the Credit Institutions Law; 8th, fourth and seventh paragraphs, 10 first paragraph, 14 Bis in relation to section I of 17, as well as 14 Bis 1 first paragraph in relation to section IV of 25 Bis 1, of the Internal Regulations of the Bank of Mexico, which grant it the authority to issue provisions through the General Legal Directorate and the General Directorate of Financial System Affairs, respectively, as well as the Unique Agreement on the Attachment of Administrative Units of the Bank of Mexico, sections III and XII, it has resolved to add a second, third, and fourth paragraphs to the Second Transitional Rule of the aforementioned Circular 34/2010, effective the day following the publication of this Circular in the aforementioned Official Gazette of the Federation, to remain in the following terms:

TRANSITIONAL

"SECOND. . . .

Regarding Credit Cards issued from November 18, 2010, section 4.1 of these Rules will enter into force on July 1, 2011.

From January 3 to June 30, 2011, Issuers must determine the Minimum Payment corresponding to these Credit Cards, by summing: i) 0.5 percent of the outstanding balance of the revolving part of the credit line at the period cut-off, without taking into account the period's interest or value added tax (VAT), and ii) said interest and VAT.

Issuers may determine a Minimum Payment amount higher than that corresponding in accordance with this Transitional Rule."

Mexico City, December 16, 2010.- BANK OF MEXICO: The General Director of Financial System Affairs, José Gerardo Quijano León.- Signature.- The General Legal Director, Héctor Reynaldo Tinoco Jaramillo.- Signature.

For any inquiries regarding the content of this Circular, please contact the Authorization, Consultations, and Legal Control Department, located at Avenida 5 de Mayo number 2, Centro Neighborhood, Mexico City, Federal District, C.P. 06059, or at the phones 5237.2308, 5237.2317, or 5237.2000 Ext. 3200.

Monday, December 20, 2010 OFFICIAL GAZETTE (Second Section) 89