NBU has published the new rules of the collectors in Ukraine

The NBU has published its White paper “the Future regulation of the factoring market”, which in particular sets out the rules of work in Ukraine collection companies.

НБУ опубликовал новые правила работы коллекторов в Украине

This was reported on the website of the NBU, reports analytical portal “Hvilya”.

The national Bank noted that the first target for regulation of the factoring market is to promote the country’s classic the commercial factoring as a tool is fast and affordable financing as well as receivables management for businesses.

To achieve the first goal, the NBU intends to hold the extension and resolution of sources of Finance factoring companies, providing them with opportunities to provide additional services not of a financial nature, and also to support changes in laws to protect the rights of factors such as lenders.

The second objective is to establish enforcement of market behavior collectors and the delimitation of their activity from the market for retail factoring.

In turn, the factoring company will be required to provide reports under the new standards, and realistic business plans, to observe the requirements for minimum capital and consumer protection. In addition, the management and owners of companies will have to have an impeccable business reputation.

To achieve the second objective, the national Bank plans to gain control over debt collection companies, in particular on compliance by the staff of the standards of good conduct from indebted people.