Collection companies are already subject to a licensing regime before the Bulgarian National Bank (BNB). This was announced during a visit to Plovdiv by Justice Minister Georgi Georgiev, quoted by BTA.
He explained that in order for a collection company to become a collection company – to have the right to buy loans from companies and banks, extremely strict requirements are being introduced.
Yesterday, the Parliament adopted the Law on Persons Servicing Loans and Buyers of Loans at second reading, which introduces the licensing regime and new rules.
„Strict rules are being introduced on how they will collect receivables, they cannot call and terrorize citizens after 8 p.m. in the evening, on a weekend or holiday. It also becomes mandatory to explain the rights of citizens that they can dispute the obligation – to say that citizens can object or seek judicial protection. All this is a European directive that the cabinet proposed and the National Assembly adopted yesterday,“ explained the Minister of Justice.
Georgiev emphasized that the powers of the Consumer Protection Commission (CPC) are also being expanded - it will be able to request the revocation of the license of a collection company that does not comply with the rules.
With regard to quick loans, the minister specified that they are already in a separate law that is being prepared. He added that there is a directive that obliges Bulgaria to adopt new rules by the end of the year.