Regulatory Alerts2017-06-09
Added · Updated
Instructions on Dealing with Customers Fairly and Transparently
The Central Bank of Jordan issued Instructions No. 56/2012, effective 180 days after publication, imposing transparency and fair dealing obligations on all banks operating in the Kingdom. The regulations mandate clear disclosure of the Effective Annual Percentage Rate (APR), restrict credit card interest to a maximum of 1.75% monthly, and cap foreign currency cash dealing commissions at 0.5% generally and 2% at border locations. Banks are required to adhere to strict debt burden ratios, limit retail credit maturities to eight years, and transition to EMV chip technology for payment cards within one year.