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Progress Note No. 14, Consumer Protection principles in Practice: A Framework for Developing and Implementing a Pro-Client Approach to Microfinance Image

Promoting Inclusive Markets and Financial Systems

Progress Note No. 14, Consumer Protection principles in Practice: A Framework for Developing and Implementing a Pro-Client Approach to Microfinance

Progress Note No. 14, Consumer Protection principles in Practice: A Framework for Developing and Implementing a Pro-Client Approach to Microfinance

Summary

In 2004, SEEP members adopted the pro-Client Principles, recognizing that a proactive approach to consumer protection will encourage MFIs to improve their practices before donors and regulators force their standards on this still evolving industry. This Progress Note presents the accumulated experiences of SEEP members over the past two years as they implement their own pro-client policies and codes. A short description of recent events where MFIs were negatively affected by allegations of consumer abuse illustrates the importance of developing consumer protection policies for the entire industry. It is intended to be used as a framework for developing and implementing pro-client principles by MFIs, associations and networks.

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