The Argentine Fintech Chamber expressed in a statement last September 15 that it rejects the decision of the Central Bank of this country regarding the recent resolution of this body in which it decided to abolish the instant debit known as “ DEBIN. “
The Fintech Chamber believes this measure will have a negative impact on the financial experience of millions of people. Since its launch almost three years ago DEBIN has become one of the most popular financing channels due to its simplicity and security.
At the moment, More than 4 million users conduct an average of 7 transactions per month with this tool.
Point out that DEBIN has demonstrated a high level of usability and a low fraud rate with transactions surveyed by users at historic lows of 0.02%.
Despite its effectiveness The BCRA has decided to replace it with instant “pull” transfers (“TIP”), a tool regulated in 2022 that has been difficult to use.. During implementation testing, only 10% of TIP operations were approved, compared to a 62% success rate recorded by DEBIN.
This decision will impact users who will now have to log into a new system in their home banking to give their consent, weakening the security and efficiency that DEBIN offers.
In addition, there is the Concerns that this change could increase the frequency of fraudulent transactions and incentivize the use of cash or traditional payment methods as there is no effective financing alternative.
From the Argentine Fintech Chamber, they call on the BCRA to review this decision and work together to create a system that guarantees security and meets the needs of the population.
The abolition of DEBIN, despite the existence of TIP, lacks reasonable justification and could affect the financial experience of millions of people in the country.
They point out in the statement that: “There is no reasonable justification for removing DEBIN, even after implementing TIP. We ask the BCRA to review this new sudden and unconsulted decision and make ourselves available to the authorities to work together on a system that truly takes people’s safety and needs into account.“.