Colombia shields victims of identity fraud

Colombia’s Law 2573 of 2026 requires the immediate suspension of any collection tied to a loan or financial obligation when a person claims to be a victim of false identity or identity theft and the institution has already been informed of the complaint.

Changes to the burden of proof

The law also introduces the principle of dynamic burden of proof in this context. That means the financial institution, telecom operator, or retailer must show what steps it used to verify identity before approving the loan, purchase, or service when identity theft is alleged.

In addition, banks and other credit providers must give the alleged victim copies of all documents used to approve the transaction that was supposedly obtained through the impersonation.

What happens if the court confirms identity theft

If a judge concludes that identity theft did occur in a loan or obligation, the affected person is released from paying the debt. They also do not have to cover interest or any other related charges.

In that same scenario, the person must be removed from the negative reports tied to that obligation in Colombia.

Financial complaint channels

Colombia’s Ministry of Justice and Law says financial consumers can file complaints against banks, insurers, and finance companies before the Superintendence of Finance of Colombia, financial consumer advocates, local ombuds offices, the Ombudsman’s Office, and consumer associations. According to the ministry, these channels can be used to impose sanctions or to settle disputes over financial services.