Circular RUNOR 1 - 1268: Protection of Financial Services Users; Electronic Communication for Environmental Care; Distance Contracting of Products; Insurance; Adjustments

"2017 - YEAR OF RENEWABLE ENERGIES
COMMUNICATION "A" 6188 02/24/2017
TO FINANCIAL ENTITIES,
TO EXCHANGE HOUSES, AGENCIES AND OFFICES,
TO NON-FINANCIAL COMPANIES ISSUING CREDIT CARDS, TO TRUSTEES OF FINANCIAL TRUSTS INCLUDED IN THE LAW ON FINANCIAL ENTITIES, TO NON-FINANCIAL COMPANIES ISSUING PURCHASE CARDS:
Ref.: Circular
RUNOR 1 - 1268
"Protection of financial services users". "Communication by electronic means for environmental care". Distance contracting of products. Insurance. Adjustments . ______ We address you to inform you that this Institution adopted the following resolution:
"1. Replace point 2.3.1.3. of the rules on "Protection of financial services users" with the following:
"2.3.1.3. Distance contracting of products and services.
Whatever the modality used (telephone, by correspondence, by electronic means, promotion through third parties, etc.), a copy of the contract with the authorized signature of the obligated subject shall be provided or made available to the financial services user, within ten (10) business days of the contracting or of the effective availability of the product or service, whichever occurs last. The usual documentation that the obligated subject uses in in-person contracts shall be used."
2. Replace, with effect from 04/30/17, point 3.2. of the rules on "Communication by electronic means for environmental care" with the following:
"3.2. Revocation and termination of contractual relationships.
Financial entities and non-financial companies issuing credit and/or purchase cards that use electronic communication mechanisms – in accordance with the provisions of these rules – shall accept the use of said mechanisms by financial services users to revoke acceptance or terminate contractual relationships related to credit, purchase, prepaid cards and/or insurance contracted as non-accessory to a financial service.

-2-
The mechanisms made available to customers for such purposes shall be simple, effective and immediate, allow revocation or termination in a single act and be operable without the need to interact with a representative of the obligated subject – such as an option in a prominent place in "homebanking" or the sending of an "sms" or email –. At the time of contracting each service, the subjects covered referred to in the first paragraph shall inform the customer of the means available in case they wish to revoke acceptance or terminate the contractual relationship, and send that information via email message to the address provided by the customer. Likewise, they shall make such means known on their Internet page, when they have that service." On the other hand, we send you in annex the sheets that, in replacement of those previously provided, should be incorporated into the ordered texts of the rules on "Protection of financial services users" and "Communication by electronic means for environmental care". Finally, it is recalled that on the page of this Institution www.bcra.gob.ar, accessing "Financial and Payment Systems - LEGAL AND REGULATORY FRAMEWORK - Orderings and summaries - Ordered texts of general regulations", you will find the modifications made with texts highlighted in special characters (strikethrough and bold). We greet you attentively. CENTRAL BANK OF THE ARGENTINE REPUBLIC Matías A. Gutiérrez Girault Manager of Issuance of Regulations Darío C. Stefanelli Principal Manager of Issuance and Regulatory Applications
ANNEX

It will be clarified in this same clause that said revocation will be without cost or any responsibility for the financial services user as long as they have not made use of the respective product or service and that, if they have used it, only the commissions and charges provided for the service will be charged, proportionate to the time of use of the service or product. The revocation power must be informed to the user in every document presented to them on the occasion of the offer and/or contracting of the product or service. The provisions of this point do not apply to the operations of raising funds carried out by financial entities under the rules on "Deposits and time investments". vi) The user's right to make, at any time during the term of the loan, total prepayment or partial prepayments in accordance with the provisions of point 2.3.2.1. vii) The user's right to carry out operations at the window, without restrictions on type of operation -subject to those that for operational reasons may exist- nor minimum amount, in accordance with the provisions of point 2.3.2.2. viii) The legend: "You can consult the "Transparency Regime" prepared by the Central Bank based on the information provided by the obligated subjects in order to compare the costs, characteristics and requirements of financial products and services, by entering http://www.bcra.gob.ar/BCRAyVos/Regimen_de_transparencia.asp." ix) The right to request the opening of the "Savings account" in pesos with the benefits provided in point 1.8. of the rules on "Savings deposits, salary account and special accounts", which will be free of charge. x) The remaining requirements normatively regulated according to the product or service in question.
2.3.1.2. Multiproduct contracts.
In matters of freedom of choice of financial products or services provided by the obligated subjects, multiproduct contracts will be admitted to the extent that the sections corresponding to each product can be split into autonomous individual contracts, so that each user can adhere only to the product(s) that effectively interest them.
2.3.1.3. Distance contracting of products and services.
Whatever the modality used (telephone, by correspondence, by electronic means, promotion through third parties, etc.), a copy of the contract with the authorized signature of the obligated subject shall be provided or made available to the financial services user, within ten (10) business days of the contracting or of the effective availability of the product or service, whichever occurs last. Version: 7a. COMMUNICATION "A" 6188 Effective:
2/25/2017
PROTECTION OF FINANCIAL SERVICES USERS
B.C.R.A.
Section 2. Basic rights of financial services users.

The usual documentation that the obligated subject uses in in-person contracts shall be used.
2.3.2. Commissions and charges.
2.3.2.1. Admitted.
All commissions, charges, costs, expenses, insurance and/or any other concept -excluding the interest rate- that the obligated subjects receive or intend to receive from financial services users ("commissions and charges"), must originate from a real, direct and demonstrable cost and be duly justified from a technical and economic point of view. The application of commissions and/or charges must be limited to the effective provision of a service that has been previously requested, agreed and/or authorized by the user. Commissions correspond to services provided by the obligated subjects and, in that sense, may include remuneration in their favor that exceeds the cost of the provision. Charges correspond to services provided by third parties, so they can only be transferred at cost to users. Likewise, the amount of the charges that the obligated subject transfers to the users may not be higher than that which the third-party provider receives from individuals, without intermediaries and under similar conditions (postal services, insurance company, notary and property registries, or others of a similar nature). In credit operations, the obligated subjects may apply commissions on the unused amounts of fund allocation agreements, since their making available to users constitutes the provision of the service. Total or partial prepayment of financing may give rise to the application of commissions. In the case of total prepayment, the application of commissions will not be admitted when at the time of making it at least one quarter of the original term of the financing or 180 calendar days from its granting, whichever is greater, has elapsed. Furthermore, the provisions of point 1.7. of the rules on "Interest rates in credit operations" shall apply.
2.3.2.2. Not admitted.
PROTECTION OF FINANCIAL SERVICES USERS
B.C.R.A.
Section 2. Basic rights of financial services users.
Version: 5a. COMMUNICATION "A" 6188
Effective:
2/25/2017

B.C.R.A.
ORIGIN OF THE PROVISIONS CONTAINED IN THE RULES ON "PROTECTION OF FINANCIAL SERVICES USERS" ORDERED TEXT SOURCE RULE
Section Point Paragraph Com. Point Paragraph
OBSERVATIONS
1.1. "A" 5388
1.1.1. "A" 5388
1.1.2. "A" 5388
1.1.2.1. "A" 2467 2nd S/Com. "A" 4378 and 5388.
1.1.2.2. "A" 5388
1.1.2.3. "A" 4378 S/Com. "A" 5388.
1.1.2.4. "A" 5388
1st "A" 90 sole S/Com. "A" 4378 and 5388.
1.
1.2.
2nd "A" 2900 1. 2nd S/Com. "A" 5388.
2.1. "A" 5388 S/Com. "A" 5460.
2.2. "A" 5388 S/Com. "A" 5460.
2.2.1. "A" 5388 S/Com. "A" 5460.
2.2.2. "A" 5388 S/Com. "A" 5460.
2.2.3. last "A" 5388 S/Com. "A" 5460.
2.2.3.1. "A" 5388 S/Com. "A" 5460.
2.2.3.2. "A" 5388 S/Com. "A" 5460.
2.2.3.3. 1st "A" 5388 S/Com. "A" 5460.
2nd "A" 5388 S/Com. "A" 5460.
2.2.3.4. "A" 5388 S/Com. "A" 5460.
2.3. "A" 5388 S/Com. "A" 5460.
2.3.1. "A" 5460 S/Com. "A" 5928, 6068, 6123, 6145, 6188
and "B" 11353.
2.3.2. "A" 5460 S/Com. "A" 5795, 5823, 5928 and 5990.
2.3.3. "A" 5460
2.3.4. "A" 5460 S/Com. "A" 5928 and "B" 11353.
2.3.5. "A" 5460 S/Com. "A" 5849 and 5853.
2.3.6. "A" 5460
2.3.7. "A" 5460
2.3.8. "A" 5460
2.3.9. "A" 5460
2.3.10. "A" 5460
2.3.11. "A" 5460 S/Com. "A" 5795, 5828 and 5928.
2.3.12. "A" 5928 S/Com. "A" 6123.
2.3.13. "A" 5928 2. Includes interpretive clarification. S/Com.
"B" 11353.
2.4. 1st "A" 5388 S/Com. "A" 5460.
2.4.1. "A" 5388 S/Com. "A" 5460.
2.4.2. "A" 5388 S/Com. "A" 5460, 5684, 5853 and 5891. Includes interpretive clarification.
2.5. "A" 5388 S/Com. "A" 5460, 5498, 5591, 5685 and
5928.
2.
2.6. "A" 5460
1st "A" 5388 S/Com. "A" 5460.
3.1. "A" 5388 S/Com. "A" 5460.
1st "A" 2467 S/Com. "A" 4378, 5388 and 5460.
2nd "A" 2467 S/Com. "A" 4378, 5388 and 5460.
3.1.1.
3rd "A" 4378 2nd S/Com. "A" 5388 and 5460.
1st "A" 4378 2nd S/Com. "A" 4429, 5388 and 5460.
3.
3.1.1.1.
2nd "A" 4378 2nd S/Com. "A" 5388 and 5460.

• Index -
  Section 1. General aspects.
  1.1. Subjects covered.
  1.2. Compliance criteria.
  1.3. Cost of the information service.
  1.4. Other conditions.
  Section 2. Exceptions to the sending of information by electronic means.
  Section 3. Other operations by electronic means.
  3.1. Opening and closing of accounts.
  3.2. Revocation and termination of contractual relationships.
  Correlation table.
  B.C.R.A.
  ORDERED TEXT OF THE RULES ON "COMMUNICATION BY ELECTRONIC MEANS FOR ENVIRONMENTAL CARE" Version: 3a. COMMUNICATION "A" 6188 Effective:
  4/30/2017

3.1. Opening and closing of accounts.
Financial entities that offer Internet banking service ("home banking") shall accept the use of said channel, by financial services users who are already customers, for carrying out the procedures for opening and closing of brokerage accounts, accounts associated with mutual funds and savings deposit accounts.
3.2. Revocation and termination of contractual relationships.
Financial entities and non-financial companies issuing credit and/or purchase cards that use electronic communication mechanisms – in accordance with the provisions of these rules – shall accept the use of said mechanisms by financial services users to revoke acceptance or terminate contractual relationships related to credit, purchase, prepaid cards and/or insurance contracted as non-accessory to a financial service. The mechanisms made available to customers for such purposes shall be simple, effective and immediate, allow revocation or termination in a single act and be operable without the need to interact with a representative of the obligated subject – such as an option in a prominent place in "homebanking" or the sending of an "sms" or email –. At the time of contracting each service, the subjects covered referred to in the first paragraph shall inform the customer of the means available in case they wish to revoke acceptance or terminate the contractual relationship, and send that information via email message to the address provided by the customer. Likewise, they shall make such means known on their Internet page, when they have that service. COMMUNICATION BY ELECTRONIC MEANS B.C.R.A. FOR ENVIRONMENTAL CARE
Section 3. Other operations by electronic means.
Version: 2a. COMMUNICATION "A" 6188
Effective:
4/30/2017

B.C.R.A.
ORIGIN OF THE PROVISIONS CONTAINED IN THE RULES ON "COMMUNICATION BY ELECTRONIC MEANS FOR ENVIRONMENTAL CARE" ORDERED TEXT SOURCE RULE Sec. Point Par. Com. Annex Chap. Sec. Point Par. OBSERVATIONS
1.1. "A" 5886
1.1.1. "A" 5886
1.1.2. "A" 5886
1.1.3. "A" 5886
1.1.4. "A" 5886
1.2. "A" 5886
1.2.1. "A" 5886
1.2.2. "A" 5886
1.2.3. "A" 5886
1.2.4. "A" 5886
1.2.5. "A" 5886
1.3. "A" 5886
1.4. "A" 5886
1.4.1. "A" 5886
1.4.2. "A" 5886
1.4.3. "A" 5886
1.4.4. "A" 5886
1.
1.4.5. "A" 5886
1st "A" 5886
2. 2.1. "A" 5886
2.2. "A" 5886
3. 3.1. "A" 6042 10.
3.2. "A" 6042 11. S/Com. "A" 6188.