Partnership financing experiment: rules for informing clients
A consumer wishing to enter into an agreement or make a transaction under the rules of partnership financing must be provided with information about the features of such transactions. The list of information and the procedure for its provision are stipulated in the Bank of Russia Ordinance. The ordinance becomes effective on 5 January 2024.
Clients must be notified that the funds they transfer to an organisation under partnership financing agreements are not secured by the government. Clients should be informed where and in what way they can send a complaint and which organisation controls and supervises the participants in the experiment. All information should be available at client service points and on the company’s official website.
The partnership financing experiment is carried out from 1 September 2023 to 1 September 2025 in the Republic of Bashkortostan, the Republic of Tatarstan, the Chechen Republic, and the Republic of Dagestan. Both financial organisations and other legal entities take part in the experiment. Besides, organisations, other than banks or non-bank financial institutions, must inform clients about the restrictions established by the Bank of Russia.