Assignment of Credit Portfolio

Communication “A” 8324, issued by the Argentine Central Bank (BCRA), came into effect on September 11, 2025, introducing amendments to the rules governing the assignment of credit portfolio.

The consolidated text introduced by Communication “A” 7443 had established, among other provisions, stricter requirements for institutions rated 3 when assigning portfolios. Accordingly, if the purchaser was not a financial institution, the purchaser was not a financial trust, the purchaser was not a foreign bank with an international “investment grade” rating, or the portfolio included debtors classified as categories 1 or 2 within the previous six months, the assigning institution was required to notify the Superintendence of Financial and Foreign Exchange Institutions (SEFyC) within 48 business hours and submit a copy of the contract with detailed information (identification of the purchaser, transaction amount, description of the portfolio, nature of the assignment, method of payment, and a sworn statement confirming the absence of any related-party relationship, supported by the external auditor’s opinion). If the portfolio included debtors classified in categories 3, 4, 5, or 6 within the preceding six months, the assignment required the SEFyC’s prior authorization.

The Communication introduces provisions specifically aimed at transactions with non-related parties, simplifying the applicable conditions. As a result, financial institutions’ sales or assignments of Assignment of Credit Portfolio to non-related parties are no longer subject to the SEFyC’s prior authorization, nor to the obligation to submit information to that authority, provided that the transactions fall within the scope of the Assignment of Credit Portfolio, as defined by BCRA regulations.

The BCRA’s consolidated text clarifies that this framework encompasses assignments—with or without recourse to the assigning institution—of credits granted to third parties, regardless of their form of instrument or the reason for their inclusion in the institution’s assets, provided that they are recorded under the accounting items “Loans,” “Other credits from financial intermediation,” or “Miscellaneous credits.” Off-balance sheet items are also included where the credits have been classified as uncollectible.

In addition, the Communication establishes that assigning institutions will remain liable for the validity of the instruments or documents transferred (eviction warranty) and may also assume liability for debtors’ potential defaults, except when the SEFyC has rated the assigning institution 3, 4, or 5 with respect to clients who, in any of the previous six months, have been classified under the same risk categories. It also allows repurchasing assigned instruments with recourse when the debtor fails to fulfill its obligations.

Moreover, the Communication specifies that debt securities and negotiable obligations issued by companies, with an average term of at least one year and with public offering authorized either in Argentina or abroad, acquired by financial institutions to be resold to prefinance the issuance, will be exempt from these requirements during the placement period, which must not exceed 90 consecutive days from the date the public offering starts.