Cuba sets regulations for retail sales by installments

Havana, Jul 21 (ACN) The Cuban Ministry of Domestic Trade (Mincin) approved the provisions for the sale in installments to natural persons of goods whose prices exceed two thousand five hundred pesos, such as furniture, mattresses, bicycles and household appliances.

Resolution 98/2021, published this Tuesday in the Extraordinary Official Gazette number 66, establishes among the requirements to acquire these items, to be a Cuban citizen with permanent residence in the country, to reside in the province where the sale is requested, as well as to be over 18 years of age, have legal capacity and the ability to pay.

Likewise, one must have demonstrable, fixed and regular guaranteed income, and have honored or be honoring other debts contracted under this modality of sale.

In order to apply for installment sales and marketing, natural persons must present their identity documents, personal data and the certification of the payment capacity of a guarantor at the retail establishment.

This includes a certification from the workplace with the salary earned; or a personal income tax affidavit, in the case of self-employed persons.

Pensioners or beneficiaries of social assistance shall show a certification of income by the Labor Directorate or branch of the National Institute of Social Security, and students in centers receiving item allowances, with payment in installments, personal data and commitment of the person assisting them for the payment.

The text clarifies that, persons hired in a state entity may have access to installment sales through payroll deduction, subject to an agreement between the retail establishment and the work center.

According to the Resolution, the establishment with installment sales modality has up to 10 working days to corroborate the documentation submitted, signs a commitment to process the request and informs the customer of its outcome.

The contract, which must be signed by the customer and the retail establishment, determines the amount of the purchase, surcharge rate, form of payment, installments, payment terms, and consequences of non-compliance, as well as the solution of conflicts, obligations, terms and conditions of both parties.

The maximum interest rate shall be 2.5 percent on the amount of the item, and the customer shall initially make a negotiable payment of not less than 20 percent of the sales price of the item, by electronic or cash payment.

The remaining amount will be paid in the agreed installments, always within a term of up to one year, the legal document states.

During the act of purchase, it adds, the customer receives the sales voucher and the warranty certificate; while the certificate of ownership is granted, if applicable, once the total amount has been paid.

The text clarifies that if the customer fails to comply with the terms established in the contract and the renegotiation, the retailer is entitled to withdraw the good, without refunding the cash paid.