The Constitutional Court approved bill 062 of 2019, known as “borrón y cuenta nueva”, which amends essential aspects of Law 1266 of 2008 (law on financial data and credit reporting to credit bureaus). The bill will now pass to presidential approval and enter into force from the date of its publication. The final text of the Court's decision is not yet known, but it will be published in the following weeks.

The bill includes, among others, the following obligations: 

1. Communicate to the person who is in arrears at least twice before making the negative report when the debt is less than 15% of the SMMLV (monthly minimum wage). 
2. Withdraw the negative information within six months following the date of payment if the person pays within the 12 months after the entry into force of the law.
3. Delete the negative report from the individuals that -at the date of entry into force of the law- have paid their reported debts and whose negative information has been at least six months in the credit bureau. 
4. Not to review credit bureaus for the purpose of hiring personnel (except for financial sector employees).
5. Delete the negative reports made during the sanitary emergency if the person restructured its obligation.

The bill also establishes strict obligations regarding the protection of personal data applicable to operators, sources, and users of financial data, as it extends the application of accountability principle, which implies that they must implement appropriate, effective, and verifiable measures to protect the information and ensure the rights of financial data subjects. The implementation of these measures will be considered when imposing sanctions for the breach of the obligations and duties under Law 1266 of 2008.  

Due to the importance of the modifications and the effort they will require, we are at your disposal to support you in this shift, and its proper implementation.