Today, the BCRA is inviting public feedback on a draft regulation for the default interest rate (Tasa de Intereses Moratorios, TIM). The publication of the TIM provides courts with a new tool for determining the default interest rate within the framework of Section 768(c) of the Civil and Commercial Code of Argentina.
The draft proposes calculating the TIM based on the average between a deposit interest rate (a 30-day time deposit in pesos) and a lending interest rate (a weighted average of interest rates on loans in pesos granted through unsecured promissory notes and personal loans). The TIM is calculated on the average daily interest rate fluctuating within two bands designed to preserve both the value of debts and the reasonableness of their financial burden. The effective daily interest rate can neither exceed the daily change of the reference stabilization coefficient (coeficiente de estabilización de referencia, CER) plus a 3% effective annual rate, nor can it be lower than the daily change of CER minus a 3% effective annual rate.
In the public consultation section on the BCRA’s website, interested parties may access the draft resolution, including a methodological annex and the TIM historical series in Excel format. They can also use the TIM calculator to estimate the interest rate and the total amount resulting from applying the TIM, based on an initial amount and a specified time period.
Suggestions may be sent by email to consultapublica@bcra.gob.ar. The title of the regulatory draft should be included in the subject of the message. Please, provide your feedback and suggestions in a clear manner, and include your full name and identity document (DNI) number at the footer.
The draft will be available for public consultation through December 19. Please, note that your feedback or suggestions are not binding. However, they will be carefully taken into consideration during the review process.
For more details on the calculation process and access to statistical series, please visit the BCRA’s website.
