Regulatory Alerts2017-03-30
Added · Updated
PSD Circular Letter No. 01: Amendment of PSD Circular No. 01/2016 and 03/2016
The document amends PSD Circular No. 01/2016 to require banks with 20 or more ATMs to inspect at least 20 ATMs monthly, while banks with fewer than 20 must inspect all ATMs, retaining inspection reports for at least one year. It also amends PSD Circular No. 03/2016 to prohibit Cash on Delivery (COD) services for hotel bookings made online, while allowing COD for other sectors subject to security and booking availability assessments, with only one bank permitted to offer COD at any specific hotel. These amendments take effect immediately.
Department of Payment Systems Bangladesh Bank Head Office Dhaka
PSD Circular Letter No: 01/2017 Date: ------------------- 16 Chaitra, 1423
Managing Director / Chief Executive Officer All Scheduled Banks Operating in Bangladesh
Dear Sir,
Reference to Partial Amendment of PSD Circular No. 01/2016 and 03/2016.
Reference is invited to PSD Circular No. 01/2016 issued on February 14, 2016, and PSD Circular No. 03/2016 issued on March 08, 2016.
Section 4 of PSD Circular No. 01/2016 shall be replaced as follows:
"Banks having 20 or more ATMs shall inspect at least 20 ATMs every month, and banks having fewer than 20 ATMs shall inspect all ATMs every month, and retain the inspection reports in the prescribed format for a minimum period of one year in their own management."
Furthermore, the sentence "Simultaneously, Cash on Delivery (COD) service has been discontinued in the hotel sector" mentioned in Section 1 of PSD Circular No. 03/2016 shall be replaced as follows:
"Simultaneously, Cash on Delivery (COD) service has been discontinued in all sectors except online hotel bookings. Banks shall carefully consider security matters and the necessity of online booking for the said hotels in the hotel selection process. Only one bank shall be allowed to operate a single Cash on Delivery (COD) service at each hotel."
Other matters in PSD Circular No. 01/2016 and 03/2016 shall remain unchanged.
This directive shall take effect immediately.
(Lila Rashid) General Manager Phone: 9530174