Original article published in Spanish in Legis Ambito Jurídico on July 4, 2024.
A recently published bill in Colombia aims to strengthen consumer protection in electronic commerce, with a significant focus on regulating fintech lending. The bill seeks to clarify what constitutes “interest” in fintech loans, specifically addressing charges related to technology use. This comes after a rise in consumer complaints against fintech companies. While recognizing the importance of fintech for financial inclusion, the Superintendency of Industry and Commerce (SIC) raised concerns about potential abuses in interest charges and criticized certain provisions, particularly the inclusion of electronic signatures and risk center consultations as separate charges, deeming them unjustified burdens on consumers. The bill attempts to provide legal clarity to fintechs regarding permissible charges, but also highlights ongoing debates about digital versus non-digital loan practices and potential future challenges to the legislation.