The Argentine Central Bank Forces Payment Service Providers Offering Payment Accounts to Transfer Their Clients the Returns of the Funds Credited to the Payment Accounts

On August 24, 2023, the Argentine Central Bank (BCRA) issued Communique "A" 7825, establishing that "the amount payment service providers offering payment accounts (PSPCP) receive for balances in pesos of deposit accounts in financial institutions, in which their customers' funds are deposited, must be fully transferred to such customers".

Thus, Fintech companies offering payment accounts must now transfer the return for the money clients keep in their accounts to them, even if they had not invested it in mutual funds.

This measure is taken after the BCRA established through Communique "A" 7611 in September 2022 that financial entities could integrate with the treasury bonds in ARS up to 45% of the funds deposited with the BCRA at a rate of 100%, as previously provided by Communique "A" 7429. As of this date, the return PSPCP deposits in financial entities produce –which must now be transferred to users– will only come from the bonds mentioned above.