Regulation (NAP) - Free Banking Services

Central Bank of S. T. P.	NAP	CODE
	PERMANENT APPLICATION STANDARD	DS 01
PROPOSER(S)	ENTRY INTO FORCE	ISSUANCE DATE

SUBJECT: FREE BANKING SERVICES

Pursuant to its Organic Law, it is incumbent upon the Central Bank of São Tomé and Príncipe, among other duties, to promote the development of the Banking System and ensure its proper functioning.

Whereas the harmonious development of the national financial sector requires the necessary balance among its stakeholders, always keeping in mind the economic and social reality;

It becoming necessary to adopt measures aimed at increasing the banking of the economy and the use of electronic payment methods;

Whereas it is the responsibility of the regulatory and supervisory authority to adopt mechanisms that lead banking institutions to provide essential services free of charges and commissions, with a view to safeguarding the public interest and promoting financial inclusion;

In these terms, the Central Bank of São Tomé and Príncipe, in the exercise of the powers conferred upon it by letters d) and f) of paragraph 2 of Article 8 of its Organic Law – Law No. 8/92 of 3 August, determines the following:

Article 1
(Scope and Subject Matter)
This Standard applies to all banking institutions, hereinafter referred to as Institutions, and aims to identify and establish the banking services that must be provided free of charge.

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Central Bank of S. T. P.	NAP	CODE
	PERMANENT APPLICATION STANDARD	DS 01
PROPOSER(S)	ENTRY INTO FORCE	ISSUANCE DATE

a) Automated Teller Machine (ATM): automatic equipment of a payment system network, which allows bank cardholders to carry out various banking operations without the need to visit counters.

b) Clients: The set of users of financial products and services offered by the institutions;

c) Commissions: amounts charged by the Institutions to their respective clients for the provision of products or the rendering of services;

d) Debt Statement: statement issued by the banking institution, containing information on the client's level of liability with said institution;

e) Account Closure: termination of the banking deposit contract;

f) Provision of Account Statement: Production and provision of the complete listing of movements of a deposit account, for a certain period, on paper or another durable medium;

g) Inactive Account Management: management of an account in which a lack of debit or credit movement is detected for a maximum period of one year, provided that no other time deposit account is associated with it.

h) POS: electronic sales terminal that allows bank cardholders to make payments without using cash;

i) Price List: table containing updated information regarding charges, commissions, fees and other conditions of financial products and services, made available to the public by the Institutions;

j) Free Banking Services: services provided by the Institutions to their clients, without charging commissions, fees or other charges;

k) Durable Medium: any instrument that allows the consumer of financial services or products to store information addressed personally to them, so that in the future they can easily access it for a period of time appropriate to the purposes for which the information is intended and that allows the unaltered reproduction thereof;

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Central Bank of S. T. P.	NAP	CODE
	PERMANENT APPLICATION STANDARD	DS 01
PROPOSER(S)	ENTRY INTO FORCE	ISSUANCE DATE

l) Intrabank Transfer: transfers carried out between accounts of the same banking institution, even if belonging to different holders.

Article 3
(Free Banking Services)

1. The following banking services shall be free of charge:
   a) Account opening; b) Monthly provision of a deposit account statement, on paper or another durable medium, according to the client's choice; c) Updating of client data; d) Intrabank transfers at the counter, without bordereau; e) Intrabank transfers via ATMs and internet; f) Inquiry into the client's account(s), via internet and ATM; g) Payment operations via ATM and POS; h) Cash withdrawals and deposits at ATMs; i) Inactive Account Management (up to 1 year) j) Issuance of Debt Statement for banking mobility purposes; k) Account closure.

2. Institutions are prohibited from charging commissions, fees or other charges for the services listed in the preceding paragraph, which must appear in the Price List, identified as free of charge.

3. Institutions must inform their clients of the prohibition established in the preceding paragraph when carrying out the aforementioned services.

Article 4
(Sanctions)
Non-compliance with the provisions of this Standard subjects the Institution and its responsible persons to the sanctions provided for in the Financial Institutions Law, combined with those provided for in the Standard on Supervisory Action and Application of Penalties.

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Central Bank of S. T. P.	NAP	CODE
	PERMANENT APPLICATION STANDARD	DS 01
PROPOSER(S)	ENTRY INTO FORCE	ISSUANCE DATE

Article 5
(Clarification of Doubts)
Any doubts arising from the interpretation and application of this Standard must be submitted in writing to the Central Bank of São Tomé and Príncipe for clarification purposes.

Article 6
(Entry into Force)
This Standard enters into force on the date of its publication.

Central Bank of São Tomé and Príncipe, 19 February 2016.