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[BUSINESS] · Argentina · 7 sources

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Mercado Pago faces legal request to suspend loan collections over usury claims

Gabriel Solano, a leader of the Workers' Party (Partido Obrero), has filed a legal request to suspend loan collections by Mercado Pago. The request, submitted to the Criminal and Correctional Court No. 53 and Prosecutor's Office No. 60, seeks a provisional halt to all credits issued through the Mercado Pago and Mercado Crédito platforms until a judicial determination is made regarding allegations of usury.

Solano accuses Mercado Libre founder Marcos Galperin and the company's board of implementing interest rates that exploit the economic needs of users who lack access to traditional banking. The complaint alleges that the platform generates disproportionate profits by charging significantly higher rates on loans than it pays on deposits.

Specific claims include that the Total Effective Cost (CET) for these loans can reach up to 1,375.94% annually. Solano further noted that these rates are approximately 21 times higher than those offered by the same economic group in Brazil, suggesting that the high costs are a result of the lack of regulation in Argentina.

Entities

Gabriel Solano · Marcos Galperín · Mercado Libre · Mercado Pago · Partido Obrero

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