CIB Circular No. 02: Registration fees, service charges, penalties for late data submission, and confidentiality breaches for CIB online services

Credit Information Bureau Bangladesh Bank Head Office Dhaka. CIB Circular No. 02/2011 Dated: 04 May, 2011 21st Branch, 1418 Bangla To all Scheduled Banks/Financial Institutions of Bangladesh Subject: Regarding registration fee for CIB online services, imposition and realization of service charges for CIB reports generated through CIB online system, penalties imposed on banks and FIs failed to contribute batch monthly contribution in time and for disclosure of credit information contained in CIB reports and exaction of money as penalties for these from banks/FIs concerned.

Dear Sir, The following guidelines are issued for your information and compliance under the CIB Online Program:

1. Method of Imposition and Collection of Registration Fee: Every bank and financial institution must register for the CIB Online System. A registration fee of 10,000/- (Ten Thousand) Taka is payable. Initially, 03 (three) User IDs will be provided at the time of registration. If additional User IDs are required subsequently, the concerned bank or financial institution must apply to the Bureau with a valid reason. For each additional User ID, a fee of 5,000/- (Five Thousand) Taka is payable. All fees related to registration and User IDs are payable from the account of the concerned bank/financial institution maintained at the Head Office.

2. Method of Imposition and Collection of Service Charges: If credit information of any person or institution is obtained through the CIB Online System, a charge of 100/- Taka per person or institution will be imposed. If credit information of a director, partner, or owner of a company, firm, or institution is obtained through the CIB Online System, a charge of 100/- Taka per person is payable. A charge of 10/- Taka per linked account will be imposed for any institution related to the person inquired about through the CIB Online System or CIB Offline System. Even if credit information of any person or institution is obtained through the CIB Online System using a Credit Card or Debit Card, a charge of 10/- Taka is payable.

Due to the use of CIB Online System, CIB Offline System, and CIB Bulk Systems by banks and financial institutions through the online process, a monthly report containing the User IDs of the concerned bank and financial institution will be generated. Based on this monthly report, a service charge bill will be prepared monthly for each bank and financial institution. The amount of this bill is payable from the account of the concerned bank/financial institution maintained at the Head Office, and the service charge bill will be sent to the concerned bank/financial institution.

3. Penalty for Failure to Submit/Correct Information in Time: (a) Every bank and financial institution must submit the credit information of their borrowers (all loans with outstanding balances of 50,000/- Taka and above, and credit cards with outstanding balances of 10,000/- Taka and above) on a monthly basis (Monthly Credit Information) by the 20th of the following month. Otherwise, a minimum fine of 5,000/- (Five Thousand) Taka and a maximum of 5 (Five Lakh) Taka at the rate of 1,000/- (One Thousand) Taka per day for the days after the specified date will be imposed. (b) After submitting credit information through the Monthly Credit Information system, upon receipt of the subsequent credit report, the concerned bank/financial institution must complete the necessary correction/deletion/addition work within 3 (three) days of receiving the subsequent credit report, resubmit the Monthly Credit Report, and inform the Bureau. Otherwise, a minimum fine of 5,000/- (Five Thousand) Taka and a maximum of 5 (Five Lakh) Taka at the rate of 1,000/- (One Thousand) Taka per day for the delayed time after the said 3 (three) days is payable.

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Page-2 4. Providing False/Misleading Information or Concealing Information in Submitted Data: If any part of the submitted monthly outstanding loan information is found to be false/misleading by the bank/financial institution and information concealment is proven, a minimum fine of 50,000/- (Fifty Thousand) Taka and a maximum of 5 (Five Lakh) Taka will be imposed against the concerned bank/financial institution.

5. Breach of Confidentiality of Credit Information Contained in CIB Reports: If the confidentiality of the CIB report prepared online by the bank/financial institution is not maintained by the concerned bank/financial institution (i.e., if the CIB report is transferred to any person, institution, organization, or court, or if the credit information of the CIB report is partially or fully published through the credit information letter), a minimum fine of 10,000/- (Ten Thousand) Taka and a maximum of 1,00,000/- (One Lakh) Taka is payable against the said bank/financial institution.

6. Method of Penalty Collection: For banks/financial institutions that fail to submit the Monthly Credit Information or necessary corrections for the subsequent credit report within the specified time, the Bureau will send a letter mentioning the reason for the penalty and the amount of the penalty, based on the number of delayed days, the nature and extent of providing false/misleading information, and the discovery of breach of confidentiality of credit information, and request an explanation for why the said penalty amount is not paid. If the explanation provided by the bank/financial institution is not deemed reasonable, the matter of imposing the penalty will be communicated to the concerned bank/financial institution, and a letter will be sent to pay the penalty amount through Bank Draft/Pay Order within 7 (seven) days; otherwise, it is payable from the account of the concerned bank/financial institution maintained at the Head Office of Bangladesh Bank.

All instructions of CIB Circular No. 01/2004 issued on 14/10/2004 regarding the subject matter will remain in force until the CIB Online Program is finally started.

Yours faithfully, (Gouranga Chakraborty) General Manager Phone: 7120938