Central Bank: Citizens complain about microlenders’ debt-collection practices

November 21, 2104. Customers of microfinance organizations have placed 860 complaints with the Central Bank since the beginning of the year, of which 500 had to do with assumed violation of consumer rights in the process of debt collection, Head of the Bank of Russia’s Protection of Customers in the Financial Sector & Minority Shareholders’ Rights Department Ilya Kochetkov announced at the 13th National Microfinance Conference in Saint Petersburg.

He said the number of complaints relating to companies that collect money from private individuals claiming to be micro-lenders (which they aren’t) has been on the rise lately.

‘This really is a problem. Since these companies are outside the scope of the Central Bank’s authority, there isn’t any way for us to help a customer other than to try and enhance their financial literacy,’ Kochetkov said.

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