Regulatory Alerts2024-07-24
Added · Updated
BRPD Circular Letter No. 34: Payment of the loan and credit card due and installment of savings schemes.
The document mandates that banks waive all interest, profit, penalty interest, and late fees for loan and credit card dues paid between July 18 and July 25, 2024, provided the payment is made by July 31, 2024. It further prohibits the cancellation of savings scheme installments or the reduction of interest rates for deposits made by July 31, 2024, and requires the refund or adjustment of any such fees already collected during the specified period. These instructions apply to all scheduled banks in Bangladesh and take effect immediately.
Bangladesh Bank Chief Executive Motijheel, Dhaka-1000 Bangladesh. Ref No: BRPD Circular Letter No. 34 Banking Regulation and Policy Department July 24, 2024 BRPD Circular Letter No. 34 Date: ----------------- 09 Shraban 1431 Managing Director/Chief Executive Officer All Scheduled Banks Operating in Bangladesh Dear Sir, Regarding the payment of overdue loans and credit cards and the installment payment of various savings schemes
In the recent situation in the country, many borrowers and credit card holders are unable to pay their overdue or due amounts to the bank on time. Additionally, many depositors are unable to deposit installments for various savings schemes, including Deposit Pension Scheme (DPS), on time.
- In this context, the following instructions will be followed for the payment of overdue loans, credit card bills, and the acceptance of installments for various savings schemes including DPS from July 18, 2024, to July 25, 2024:
(a) If the due amount for loans and credit cards is paid by July 31, 2024, no interest/profit, penalty interest/excess interest/excess profit/late fee/penalty (by whatever name it is called) will be collected/charged on such overdue amount.
(b) If the installment for various savings schemes including DPS is paid by the customer by July 31, 2024, no late fee or penalty will be collected/charged on it. Furthermore, if the customer is unable to pay the installment of any savings scheme during the aforementioned period, it cannot be closed/cancelled, and less interest/profit than the previously declared rate cannot be paid.
(c) If any interest/profit, penalty interest/late fee for the aforementioned loans/credit cards, or any late fee/penalty for various savings schemes including DPS has already been collected/charged, it must be refunded/adjusted.
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These instructions will take effect immediately.
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These instructions are issued under the powers conferred by Section 45 of the Bank Companies Act, 1991.
Yours faithfully, (Mohammad Shahriar Siddique) Director (BRPD) Phone: 9530252