Financial regulations effective from June 1, 2025: Money transfers perceived as suspicious will be halted, and self-imposed credit restrictions will be tightened.
Russia Tightens the Screws: what to expect from June 1st
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Stay Away from Fraudulent Messages, especially on WhatsApp and Telegram!
Welcome to the new digital era in Russia, starting June 1st! Be prepared to steer clear of any official messages from government agencies or banks arriving via WhatsApp or Telegram, as they're bound to be scams. The reason? A fresh law is brewing, designed to combat phone and internet scammers. It brings obstacles to official communication with citizens and clients through foreign electronic messaging systems (like WhatsApp and Telegram).
This law applies to:
- Public servants, as well as their representatives at every level, including the police force, investigative bodies, and other official institutions,
- Banks and other financial organizations,
- State-owned firms,
- Telecommunications providers,
- Websites that aggregate product and service info (e.g., online stores or flight search services),
- Commercial websites with a daily audience of over half a million people,
- Websites and information systems attracting a Russian audience of over 100,000 people per day.
Foreign messengers can distribute only publicly accessible information posted online and can't be used for personal communications requiring specific actions. They're also off-limits for "business chats."
The same law prohibits citizens from transferring SIM cards registered in their name to someone else, unless it's close family members (spouses, children, grandparents, etc.).
If you receive a message from any government agency or bank via WhatsApp or Telegram after June 1st, consider it a scam.
Illustration: GLOBAL LOOK PRESS.
So, where does the money come from?
June 1st also marks the implementation of amendments to the law battling money laundering. Banks must, at the request of Rosfinmonitoring, put a hold on any transaction suspected of being illegal for up to 10 days, under the threat of a million-ruble fine. This rule applies to situations resembling money laundering (renting stolen money through bank accounts or cards) and other unlawful activities, such as terrorism financing.
For the following ten days, the bank is expected to verify the transaction. If the client provides adequate documentation and explanations to demonstrate the transaction's legitimate purpose, it will be executed. Otherwise, it will be denied.
What should ordinary folks worry about? On the one hand, it seems we're getting help to fight fraudsters and other criminals. On the other hand, some internet media and bloggers claim the government is tightening control over citizens' transfers to collect income tax.
The Federal Tax Service has always dismissed these rumors, insisting that transfers aren't subject to tax but constitute income, for which NDFPL should be paid.
Should you expect your transfers to be blocked due to suspicions of illegality after June 1st? Yes, especially if you don't have official income but regularly receive substantial sums, transfer large sums without any documentation confirming the purpose of the transaction, or make numerous identical transactions of unknown origin. However, these questions arose earlier.
If you transfer money to a colleague for a birthday gift or to your wife for grocery shopping, you needn't worry - "new taxes" haven't been levied for such transactions.
EASIER TO IMPOSE A CREDIT RESTRICTION THAN REMOVE IT
Starting June 1st, a qualified electronic signature (QES) will be needed to remove a credit self-imposed restriction through the government services portal, replacing the confirmed account on the government services. You can obtain a QES through the "Goskluch" app linked to the government services, but you'll also need valid biometrics or a passport of the new format. Alternatively, you can visit an MFC or a bank with your passport (not all banks qualify - check the government services list).
In conclusion, imposing a credit restriction is easier than lifting one, as only a confirmed account on the government services is needed to impose one, while a QES is required to remove it.
Pharmacies embrace the healthcare system starting June 1st
Get ready for a new pharmacy experience starting June 1st: the sale of expired or counterfeit drugs will be automatically halted at the checkout. A similar system is already in play for dairy products in stores, with cashiers scanning markings, and the data being checked against a special information system. If a discrepancy is detected - for example, the expiration date has passed or a certain drug batch distribution has been halted - the sale is blocked.
In addition, starting June 1st, Russian pharmacies will be part of the healthcare system, providing healthcare workers with benefits.
Say hello to digital foreigners
From June 30th, foreign nationals who don't require a visa to travel to Russia will need a QR code and digital registration to cross our borders, affecting most nations in the near abroad (like Azerbaijan, Armenia, Georgia, Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan, etc.).
To obtain a QR code, the foreigner must register through the "Gosuslugi RuID" mobile app at least 72 hours (i.e., three days) before arrival in Russia. You can enter Russia without Digital Registration under exceptional circumstances (e.g., a family member has died).
Also, all foreigners (not only from visa-free countries) will need to provide biometrics (photos and fingerprints) upon entering Russia starting June 30th, marking the second stage of the digital profile experiment for foreign citizens entering Russia.
- In the context of the new digital era in Russia starting June 1st, financial organizations, banks included, will face increased scrutiny as they will be prohibited from using foreign electronic messaging systems like WhatsApp and Telegram for any sensitive communications or transactions.
- The tightened finance and business regulations coming into effect on June 1st also involve amendments to the money laundering law, which requires banks to scrutinize any suspicious transactions for up to 10 days at the risk of a penalty for non-compliance, potentially causing delays or denial of transactions for some clients.
