Ukraine has adopted a law on the ethical conduct of collectors


The Verkhovna Rada passed Bill № 4241, which regulates the work of collectors and protects consumer rights.

The document regulates the civilized rules of work of collectors, condemns unethical behavior, imposes fines for violations, defines the concepts of “collector” and “collection company”.

What changes are expected:

No to blackmail and threats
Collectors must follow the rules of ethics. There will be a ban on blackmail, misleading citizens about the consequences of non-payment of debt, the image of honor and dignity of the borrower. Prohibition of round-the-clock phone calls to put pressure on a person. Collection companies are also prohibited from notifying relatives and other persons who are not parties to the contract.

Only “legal” collectors
Companies that want to engage in collection activities must register and pass an inspection with the NBU. Financial institutions cannot hire collectors who have not been inspected by the National Bank.

Financial penalties for violations
If the requirements of the law on the protection of debtors in the settlement of overdue debts are violated, the collector will receive a fine of 50,000 to 100,000 thousand hryvnias. Exclusion from the Register of collection companies is possible. Collectors will be supervised by the NBU.

Banks and financial institutions should announce on their website which collection companies they work with and warn customers in which case they will contact them.

And how do you like such changes?