Circular No. 3903 — Establishes procedures and rules for accounting records and for the preparation, submission, and disclosure of financial statements applicable to direct credit societies and peer-to-peer lending societies

The Collegiate Board of the Central Bank of Brazil, in a session held on June 6, 2018, based on arts. 9 and 37 of Law No. 4,595, of December 31, 1964, and in view of art. 47 of Resolution No. 4,656, of April 26, 2018,

R E S O L V E:

Art. 1. This Circular establishes procedures and rules for accounting records and for the preparation, submission, and disclosure of financial statements by direct credit societies (SCD) and peer-to-peer lending societies (SEP) authorized to operate by the Central Bank of Brazil.

Art. 2. The attribute "J" in the list of accounts of the Accounting Plan of the National Financial System Institutions (Cosif) is hereby amended, now representing the list of accounts eligible for use by microentrepreneur and small business credit societies, direct credit societies, and peer-to-peer lending societies.

Art. 3. The institutions mentioned in Art. 1 must observe the list of Cosif headings eligible for use in their accounting records, in a manner consistent with the operations and services the institution is authorized to perform or provide.

Sole Paragraph. The existence of accounting headings with attribute "J" does not presuppose permission for the institutions mentioned in Art. 2 to practice operations or provide services prohibited by law, regulation, or administrative act, or dependent on prior authorization by the Central Bank of Brazil.

Art. 4. The institutions mentioned in Art. 1 must prepare the following financial statements, in accordance with the provisions in force consolidated in Cosif:

I - monthly, balance sheet;

II - semi-annually, relative to the base dates of June 30 and December 31:

a) balance sheet; b) statement of the semester's results; c) statement of the semester's cash flows; and d) statement of the semester's changes in equity; and

III - annually, relative to the base date of December 31:

a) balance sheet; b) statement of the year's results; c) statement of the year's cash flows; and d) statement of the year's changes in equity.

Art. 5. Subject to the other legal and regulatory provisions in force, the financial statements mentioned in Art. 4 must be disclosed on the institution's internet page or in an internet repository of free public access, which has the specific objective of disclosing accounting and financial documents.

§ 1. The semi-annual and annual financial statements must be accompanied by explanatory notes, the independent auditor's report, and the administration's report on social business and the main administrative facts of the period.

§ 2. In the case of substitution or exclusion of financial statements disclosed on the institution's internet page or in the repository mentioned in the caput, the substituted documents must remain available to the Central Bank of Brazil for a period of at least five years.

Art. 6. Annex 1 of Circular No. 3,764, of August 26, 2015, is hereby amended, now to be in effect with the content of Annex 1 of this Circular.

Art. 7. Attribute "O", relating to Investment Funds, is hereby excluded from the list of accounts of Cosif.

Art. 8. This Circular enters into force on the date of its publication.

Otávio Ribeiro Damaso
Director of Regulation

Annex 1

Table of institution groups for submission of documents to the Central Bank of Brazil

Group	Institutions
Group 01	Commercial banks, multiple banks with commercial portfolio, and savings banks.
Group 02	Institutions responsible for conglomerates and institutions responsible for consolidated statements.
Group 03	Multiple banks without commercial portfolio, exchange banks, development banks, investment banks, and the National Bank for Economic and Social Development (BNDES).
Group 04	Leasing companies, development agencies, credit, financing, and investment societies, savings and loan associations, mortgage companies, and real estate credit societies.
Group 05	Credit cooperatives.
Group 06	Foreign exchange brokerage societies, securities brokerage societies, and securities distribution societies.
Group 07	Microentrepreneur and small business credit societies, direct credit societies, and peer-to-peer lending societies.
Group 08	Consortium administrators.
Group 09	Non-profit consortium administrators.
Group 10	Central credit cooperatives, confederations of central cooperatives, commercial cooperative banks, and multiple cooperative banks responsible for combined balance sheets of the respective cooperative system.
Group 11	Payment institutions.
Group 12	Institutions that make up groups 1, 2, 3, 5, and 11, when in extrajudicial liquidation regime.
Group 13	Institutions that make up groups 4, 6, 7, 8, and 9, when in extrajudicial liquidation regime.