Credit management companies are individuals or legal entities who are regularly and professionally involved in financing the sale of goods and services by third parties, granting credit by using credit cards, purchase orders, or other similar procedures. Also considered credit management companies are: consumer cooperatives, civil associations and other legal entities with non financial lines of business, that regularly and professionally issue purchase orders for activities under its line of business.
Large asset credit management companies are those whose total assets plus contingencies at the end of the fiscal year exceed the equivalent of 100,000 adjustable units (unidades reajustables or UR in Spanish) as per the value on the closing date.
For large asset credit management companies, supervision is primarily aimed at protecting the stability and solvency of the entities, based on the systematic and regular implementation of different supervisory mechanisms, which seek to promote an efficient payment chain and that entities manage their risks in a professional way (such as the risk of being used for money laundering or terrorist financing), to prepare financial reports in a timely and consistent manner, to operate with caution and maintain adequate compliance with regulations. Through these procedures, it is possible to have early warnings of problems and thus company managers can take appropriate measures to solve them in a timely manner.
The role of protecting financial users is also performed by responding to inquiries and denouncements. These entities do not require previous authorization to operate but must be listed in the Registry. See requirements for Registration (Art. 85 of the Central Bank of Uruguay Communications Compilation of Financial System Regulation and Control Rules RNRCSF in Spanish).
For smaller asset companies, supervision is aimed at monitoring corporate status and compliance with regulations, based on the implementation of supervisory mechanisms in response to warnings that may arise from denouncements and other information received.
See List of Credit management companies that are included in the Register of the Superintendency of Financial Services.
