Money, Finance and Banking Blog in Pakistan
Consumer Banking
This pertains to provisioning of financing facilities to the customers for their personal needs such as home finance / mortgage, car finance, personal loan, credit card, etc.
Is HBFC’s Rs4.5 billion Financing Enough?
Feb 2nd
In a recent press release House Building Finance Corporation Limited (HBFCL) has announced that its financial position improved significantly during tenure of current government. HBFCL hopes that it will result in greater organizational stability,
HBFCL reports that it disbursed loans of Rs4,556 million in the housing sector during current government’s tenure and recovered Rs6,300 million. According to report, average loan size was Rs600,000.
If we look at the figures, we have some interesting observations. The disbursement of Rs4.556 billion in around 23 months – around Rs198 million disbursement per month – is insufficient compared to size of house finance market major share of More >
Banks Not to Report Payment Delay Without Customer Information
Jan 13th
Banks in Pakistan have been directed by State Bank of Pakistan (SBP) to inform customers through written communication before reporting their names for 90 dpd (days past due) to Electronic Credit Information Bureau (eCIB).
Customers will need to be informed by banks at least 15 days in advance before reporting his / her name for payment delay of 90 days. Fifteen days time will allow customer to contact, contest, reconcile or settle his outstanding liabilities with the concerned bank. The letter to customer by the bank will also intimate him of implications of his name being reported to eCIB.
We think that this is More >
‘Deadly Weapon of Consumer Banking’
Aug 6th
The article appeared in The Financial Daily. We are posting for your interest and would appreciate your comments.
I would like to inform, through this article, the honorable public of Pakistan about highly dangerous and deadly invisible ‘weapon’ that some foreign banks operating in the country are using. These banks, through some of their services like consumer financing, give mental worries to the customers.
They can be named as ‘murderers’ as their practices have destroyed, some way or the other, lives of a number of people as we know that mental worries make the man weaker at much faster pace and even More >
How Banks Can Reduce Credit Card Frauds?
Aug 5th
The recent hype over Shumaila Anjum’s credit card case must have left many bankers pondering over how to reduce such fraudulent practices in future.
Well, for starters if producing photo-cards is expensive then the least banks can do, is ask their merchants to check for photo identity proof at the time of the transaction – particularly for those involving high amount.
To further guard against frauds, the banks can also start sending cellular SMSs to their customers immediately after the transaction to that remedial action can be taken promptly, if need be. Although this service is currently being offered by some banks, More >
Aggrieved Customer Threatens to Sue UBL
Aug 1st
An aggrieved client of the United Bank Ltd (UBL) has threatened to file a suit for damages in the court of law if bank authorities failed to apologise to him for what he called their unprofessional attitude for the last two years. However, the bank denies the charges.
Capt (Retd) Dr Abdur Rahim, Deputy Medical Superintendent Hayatabad Medical Complex, Peshawar, who had applied for a personal loan in the second week of January 2007, said he was not given any loan but the bank was seeking recovery and had even declared him a defaulter. That was evident from the Credit Information More >
