Ecuadorian credit bureau changes: How to prevent debts from affecting your history

Ecuador has revised its credit reporting laws, shortening the maximum period for retaining credit risk information from six to four years, effective August 20, 2026. This change, implemented by the National Financial and Monetary Policy Board, also reduces the reporting window for specific credit operations from three to two years. A key clarification is that the four-year countdown starts from the last valid date of the credit operation, meaning the debt is not automatically erased after four years if it remains legally active.

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The change modifies the temporal horizon of the information used within the credit reference system.

Financial experts suggest these adjustments could benefit individuals who faced temporary financial setbacks, such as job loss or illness, but subsequently managed their obligations responsibly. Juan David Espinosa of the Universidad Internacional del Ecuador's Business School noted that the reduced timeframe might ease financial reintegration for those impacted by pandemic-related issues. He believes this offers a chance for a "second opportunity" in financial matters.

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Waiting four years is not a strategy for dealing with a debt.

However, specialists caution against viewing the change as a "clean slate." Lawyer Patricio Herrera, specializing in debt collection, emphasizes that the information retention period is distinct from the actual existence of an unpaid debt. He strongly advises individuals struggling with payments to contact their creditors immediately to explore options like payment agreements, refinancing, or restructuring. Herrera stresses the importance of documenting all negotiations and payment proofs, and ensuring credit records accurately reflect the settled status. Ignoring a debt or passively waiting for the period to expire can worsen the situation, he warns.

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The four years begin when the debt is extinguished.