Dominican banks must follow new debt collection rules

The Dominican Republic's Superintendency of Banks (SB) has introduced new regulations to protect financial consumers. A recent circular, CCI-REG-2026000007, outlines seven essential practices for financial intermediaries (EIFs) to ensure debt collection processes are respectful and transparent.

Signed by superintendent Alejandro Fernández W. on July 29, the directive aims to curb abusive practices and uphold the dignity of individuals. Financial entities must guarantee equitable and respectful treatment at all times.

The seven recommended practices include establishing clear policies and training for debt collection staff, and ensuring that banks are responsible for the actions of both their employees and external collection agencies. Ethical conduct and transparency are paramount, with collectors required to provide clear information about the debt and potential solutions.

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the organism supervisor has issued a series of guidelines and recommendations aimed at financial intermediation entities (EIFs) to ensure that debt collection processes are carried out under standards of courtesy, dignity, justice, and transparency.

When selling debts to third parties, contracts must include clauses ensuring respectful treatment, confidentiality, and data protection. Borrowers must be notified when their debt is sold, including the outstanding amount and the new creditor's contact information. Original lenders must also provide detailed debt information upon request, even after a sale. Financial guilds are encouraged to develop "commitment letters" for best practices.

Furthermore, the circular emphasizes compliance with telecommunications regulations regarding debt collection calls. This means respecting established hours and call frequency limits, safeguarding privacy and dignity. This move by the SB aims to elevate service quality and protect citizens from aggressive debt collection methods.

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the document ... seeks to prevent abusive practices or those contrary to the dignity of people, reiterating that entities must guarantee equitable and respectful treatment at all times.