The Central Bank of Uruguay (BCU) received on November 15, 2021 a complaint from an individual against Banco República (BROU) for alleged misleading advertising in retiree loan rates granted by said institution.
According to the resolution published by the Superintendence of Financial Services of the BCU, the complainant pointed out that a third party included in the conditions established to receive a loan for retirees by simulating the loan through e-BROU, the institution offered a fee higher than the one advertised for its granting.
The text relates that the complainant presented a copy of the credit offer that arises from e-BROU in which the liquid to be collected, the amount of the installment, the term and the currency could be seen, but the rate of payment was not observed. applicable interest.
In this sense, days before the complainant had filed a complaint with the BROU in relation to the fact that the quota offered did not correspond to what was advertised. In that instance, he was referred to a branch to carry out the planning with an account executive.
BROU’s position
Consulted in this regard, the BROU reported that the interest rate offered in the simulation presented by the complainant a rate of 26.22% TEA (effective annual rate) was applied, different from the 25% advertised on the web, because the credit applicant was classified 3 in the Risk Centerindicates the resolution. And he argued that this rate was informed to the complainant on the screen in which the loan conditions are accepted.
In addition, the BROU indicated that in the advertising of the loan to retirees it was reported that the conditions of the credits were subject to credit approval, and that as of 11/25/2021 the following legend was included in said publication: “As a general condition , in all cases in which the debtors are rated 3 according to Central Bank Standards, a spread of 1.22% must be added”. Likewise, the BROU reported that the loan in question was not finally requested or granted.
What the BCU said
The resolution of the BCU pointed out that from the elements surveyed it emerged that the information provided to the credit applicant by BROU “did not correspond to the information published in the publication on its websitewhile it was not reported that the rate could be modified for certain credit subjects.
And that notwithstanding the foregoing, the BROU in the course of the proceedings “adapted its web publication regarding the determination of the rate applicable to the credits for those applicants categorized 3 in the Risk Center in order to improve the information for future clients, considering the modifications made appropriate”.
Finally, the Superintendence of Financial Services resolved to notify the BROU that “in the publications to be made, seek attention to adequate compliance with the regulations, avoiding incurring information that is not sufficient, clear, truthful or that could mislead or confuse the user”.
