Fraudulently issued online loans to be suspended under new regulation

The regulation, jointly approved by the Ministry of Justice and the Central Bank, has been registered by the Ministry of Justice and sets out minimum requirements for information security and cybersecurity when financial institutions and payment service providers deliver remote services to individuals. The document is aimed at preventing fraud and strengthening protections for consumers using digital financial services.

Under the new rules, if an online loan has been taken out in a citizen’s name as a result of fraud and the individual is officially recognized as a victim based on a decision by an inquiry officer, investigator, prosecutor, or a court ruling, the credit institution is required to suspend the calculation and collection of both the principal debt and accrued interest.

At the same time, credit institutions retain the right to recover the financial damage from the perpetrator of the fraud through recourse claims.

If a credit institution suspects a fraudulent transaction, it is entitled to refer the matter to the relevant authorities in accordance with established legal procedures.

However, the regulation also stipulates that if an inquiry, preliminary investigation, or court decision determines that no fraud has occurred, the credit institution may resume the calculation and collection of the online loan and related interest.

The new framework is part of broader efforts by Uzbek authorities to enhance cybersecurity, reduce financial fraud, and increase trust in online banking and digital payment systems.