Individuals Face Potential Blockage as of September 1st
New Russian Law Affects Refunds and Potential Blocking of Advance-Paid SIM Card Funds
Starting September 1, 2025, new regulations in Russia will impact the refund procedures and potential blocking of funds associated with advance-paid SIM cards. The changes aim to enhance monitoring of SIM card usage and prevent misuse, including fraud and security threats.
Telecom operators may withhold or block funds paid in advance for SIM cards if a user fails to comply with newly tightened verification or registration requirements. This action can occur when a SIM card is detected as suspicious, unregistered, or linked to activities flagged by law enforcement or regulatory bodies under the new "Action Plan" approved by the Russian government to combat illegal acts using information and communication technologies (ICT).
While the exact legal text on refund timing is not detailed, it is clear that the law imposes stringent controls requiring telecom operators to monitor user data actively and cooperate with authorities, potentially delaying or restricting refunds of advance payments on SIM cards under investigation or non-compliance.
The new law will not affect ordinary mobile users not involved in criminal schemes and will not result in service disconnection. However, individuals can self-impose a ban on mobile services if they wish. To do so, they must contact their mobile operator.
The law applies to money transfer operators, electronic money operators, and mobile phone operators. If an operator receives an order to suspend operations with funds deposited as a prepayment for communication services or to impose an arrest on such funds, they must stop refund operations. If there are no free funds left for payment, the operator may temporarily suspend services, including calls, SMS, and internet.
An arrest can be imposed on a specific sum credited to a subscriber's account if there is suspicion that the money was obtained through criminal activities. The law is designed to increase the speed and effectiveness of combating crimes involving the theft and transfer of funds.
The expert from the "MyFinances.rf" portal, Maria Ivatkina, mentioned that the new law applies if there is suspicion that the money was obtained through criminal activities. The self-ban option is not mentioned as a primary concern for those receiving large sums from unknown individuals, legal entities, or individual entrepreneurs.
The new law has been reported by RBK, and it prevents telecom operators from refunding money credited as prepayment for services if that money is subject to arrest. The self-ban option is not reported to affect the speed and effectiveness of combating crimes involving the theft and transfer of funds.
In summary, from September 1, 2025, refunds of advance funds on SIM cards may be delayed or blocked if user verification is incomplete or suspicious activity is detected. Funds might be blocked when the operator or authorities suspect violations of the new telecom regulations or when the SIM card is under scrutiny as part of broader security enforcement actions. The self-ban option is available for individuals who wish to voluntarily restrict their mobile services.
- The new Russian law, effective from September 1, 2025, will obligate telecom operators to monitor user data closely and potentially block refunds of advance payments on SIM cards if the funds are suspected of involvement in illegal activities or non-compliance with the new regulations.
- The changes in the Russian law will not only affect telecom operators but also money transfer operators and electronic money operators, as they will be required to halt refund operations if an order to suspend or arrest funds is received.
