Regulatory Alerts2023-06-20
Added · Updated
Central Bank of Jordan Circular on Basic Bank Account Customer Feedback
The Central Bank of Jordan directs all licensed banks to mitigate customer complaints regarding Basic Bank Accounts, specifically prohibiting fees beyond those stipulated in relevant instructions. Banks must address issues including ATM functionality failures, unauthorized account closures, missing transaction notifications, and the deduction of unauthorized commissions ranging from 500 fils to 1.5 Jordanian Dinars. This directive references previous communications and requires institutions to inform the regulator of their corrective actions.
In the Name of Allah, the Most Gracious, the Most Merciful
[Logo of the Central Bank of Jordan]
Reference No: 10/1/327 Date: 29 / 11 / 1444 AH Corresponding to: 18 / 6 / 2023 AD
Circular to all Banks operating in the Kingdom
Greetings,
In the context of the Central Bank of Jordan's follow-up on issues related to individual customers and providing them with the necessary protection, and with the aim of enabling all segments of society, especially the financially excluded, to access financial and banking services, the Central Bank conducted a study to measure the satisfaction level of Basic Bank Account holders. This study relied on an electronic questionnaire sent directly to customers.
The results, based on customer responses, revealed several observations facing Basic Bank Account holders, which contradicts what was stated in the Basic Bank Account Instructions No. (2019/1). The attachment below outlines the most important observations mentioned by customers.
Based on the foregoing, please proceed with the following:
- Study and mitigate the observations that emerged from the survey, if they exist within your institutions, and inform us accordingly. Please note that most complaints and observations are repetitive and have been previously communicated to you via our Circular No. (2023/3/27) dated 20/12/2022.
- Do not impose any fees or commissions on Basic Bank Accounts beyond those stipulated in the relevant instructions.
Please accept our highest regards,
The Governor Dr. Adel Al-Sharkas [Signature]
- Attachment Form (1/1/09) P.O. Box 37 • Amman 11118 Jordan • Phone 4630301 • Fax 4638889 • Website: www.cbj.gov.jo • Email: info@cbj.gov.jo
CENTRAL BANK OF JORDAN البنك المركزي الأردني
Attachment: Key Observations from Basic Bank Account Customers in Dealing with Licensed Banks
Survey Results:
- Some ATM cards do not work at branches of the issuing bank, while they work at other banks.
- Account closure without prior notice to the customer.
- Some technical issues with certain ATMs.
- Failure to send notifications to customers upon withdrawal or deposit, or upon receipt of transfers from the Ministry of Social Development.
- Unavailability of electronic banking services and electronic payment services, such as water and electricity bill payments and the Click service.
- Delays in receiving transfers.
- Deduction of a commission of (1) Jordanian Dinar for cash withdrawals from the branch, noting that the commission is 500 fils for each transaction after exceeding the maximum limit of transactions (two free monthly withdrawals).
- Deduction of a commission (1 Jordanian Dinar - 1.5 Jordanian Dinars) when transferring National Aid entitlements to the customer's account.