Banco de Portugal warned of the existence of an entity that, without legally qualified, has been granting and intermediating credit in the national territory. The performance of this entity, which uses the designation “Staline Lunga Pacheco” and the commercial name “Small Loan”, extends to various online platforms and social networks, including Facebook, Instagram and LinkedIn.
According to the regulator, this activity violates the legislation in force, which reserves the granting of credit to duly authorized institutions and subject to its supervision. Banco de Portugal stresses that this entity, associated with NIF 309806062, also performs credit consultancy, also an exclusive activity of authorized operators.
Online Presence and Social Networks
According to the same source, the operation of the “small loan” runs through its own website, as well as social networking profiles. Publications, accessible on Facebook, Instagram and LinkedIn, disclose financing services that, in practice, do not comply with the legal requirements established in the general regime of credit institutions and financial companies.
The Portuguese law, specifically Decree-Law No. 298/92, determines that the activity of granting credit, provided for in paragraph b) of paragraph 1 of article 4, can only be exercised by entities registered and authorized for this purpose.
How to confirm if an entity is authorized
To avoid risks and potential fraud, Banco de Portugal recommends that anyone interested in hiring credit previously confirms whether the institution is authorized. This verification can be done through the official website of Banco de Portugal, where there are lists of entities that can grant credit, act as intermediaries or provide financial consulting services.
O, also managed by the regulator, is another useful resource to access this information and know the rights and duties associated with credit contracts.
Consequences for those who act without authorization
Those who grant or intermediate credit without permission are committing a serious infraction, subject to sanctions and fines. In addition, contracts made in these circumstances may not offer any legal protection to the consumer, exposing it to abusive conditions or the loss of borrowed value.
Banco de Portugal also appeals that any suspicious contact is immediately reported to the competent authorities. At the same time, it stresses that payments should never be made or provide personal data without previously verifying the entity’s legitimacy.
If in doubt, it is preferable to look for recognized institutions in the market, ensuring that the entire operation takes place within the law and under the supervision of regulatory entities.
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