SBP issues guidelines for loan recovery

KARACHI: In order to address citizens’ complaints, the State Bank of Pakistan issued guidelines for loan recovery, under which the domain of the recovery officer has been determined.

SBP spokesman Sayed Wasimuddin told Geo News that only the guidelines for the recovery of consumer have been declared as ‘fair date collection guidelines’, which would apply on credit cards, housing loans, auto, personal and other consumer loans.

He said the guidelines were introduced to facilitate banks and the consumers getting loans form banks.Before beginning operation for recovery of loans, banks and the financing institutions are bound to provide their customers all information regarding their dues, under the SBP guidelines.

Besides, recovery officers in the first phase will give the customers a 14-day notice through SMS, e-mail or letter, for recovery of loans after which they can contact on appropriate time at the address given by the customer.This has also been cleared in these guidelines that for the recovery of the loans, the recovery officers cannot contact the customer at addresses or phone numbers other than those given by the customer.

Source: Geo News (http://www.geo.tv/)