Fintech Law Series: Credit Advisory Services

Regulatory Framework

• Fintech Law 21.521: General framework regulating technology-based financial services

• General Rule No. 524 (NCG N°524): Regulation specifying the requirements for registration and authorization

Checklist: Are You a Credit Advisor?

According to Fintech Law 21.521, your company could be considered a credit advisor if it performs the following activities:

1. Evaluations and Recommendations

Does your company analyze…?

• Payment capacity of third parties?

• Payment probability of individuals?

• Payment probability of legal entities?

• Credit history of those evaluated?

Practical Example:

If you offer credit evaluation services to financial institutions to assess the payment capacity of potential clients, you likely fall under this category.

2. Specific Services

Do you provide services for…?

• Obtaining loans or financing

• Modifying credit terms

• Renegotiating existing loans

• Verifying the identity of individuals or entities

3. Scope of Service

Do your services include…?

• Legal solvency analysis

• Identity verification

• Evaluation of complementary risk factors

• Recommendations to financial institutions

Key Obligations

If you’ve identified your company as a Credit Advisory Service, you must:

• Implement secure data management systems

• Maintain confidentiality of information

• Establish risk management policies

• Ensure objectivity in evaluations

Important Note

The CMF has set February 2, 2025 as the final deadline to register in the Financial Service Providers Registry.

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