- General
- Business
- Moodys's say
- Economy
- Bank and Finance
- Politics
- Energy
- World
- Environment
- Entertainmentt
- Sport
- Agro and Food
- Lifestyle
Banks warned not to apply ‘blacklist’ to loan applications
By k on October 20, 2009
BANGKOK, Oct 20 (TNA) – The Bank of Thailand (BoT) has warned commercial banks not to automatically reject loan applications by claiming that customers are blacklisted by the Credit Bureau.
BoT Deputy Governor (Financial Institutions Stability) Krirk Vanikkul said Finance Minister Korn Chatikavanij had called on the central bank to explain and create a proper understanding with financial institutions about commercial banks’ inability to lend or allow other financial transactions in case customers missed payments and were blacklisted by the Credit Bureau.
He believed commercial banks understood what they should do if their customers have been blacklisted in the Credit Bureau.
The banks’ decision to extend loans would be made based on a clear lending regulation.
Normally, they would take into account the debt quality of customers.
“We believe that commercial banks understand well. No banks suppose loans cannot be extended to customers blacklisted in the Credit Bureau because no laws force them to do that. The bureau has a duty just to provide database so the banks can use it to consider the payment conduct of debtors,” he said.
Mr. Krirk said he had the view that the banks themselves should not reject applications for loans by reasoning the applicants are blacklisted. Instead, they should give reasons based on factual information about debtors. (TNA)
Related posts:
- Banks not interested in solving informal debt BANGKOK, 19 March 2010 (NNT) – The Bank of Thailand...
- Thailand’s central bank requires financial institutions to justify loan rejections BANGKOK, Jan 22 (TNA) – Bank of Thailand (BoT) Assistant...
- BOT gives nods to local banks to run microfinance BANGKOK, 15 September 2009 (NNT) – The Bank of Thailand...
- Siam Commercial Bank still stays in healthy financial status in 3rd quarter 2009 BANGKOK, 26 October 2009 (NNT) – The Bank of Thailand...
- IBANK helps relieve credit card debts BANGKOK, 14 December 2009 (NNT) – The Islamic Bank of...
Related posts brought to you by Yet Another Related Posts Plugin.
Readers Comments
Business News »
Loan clients urged to be well-prepared for higher finance costs
July 16, 2010
BANGKOK, July 16 – Loan customers, particularly small- and medium-size enterprises (SMEs), must have well-prepared business plans to cope with higher financial costs in the face of an upward interest trend, according to the Kasikorn Research Center (KRC), a leading Thai financial think tank. Kasikorn said that major domestic commercial banks had begun raising the [...]
Bank And Finance »
Commercial banks announce hikes in interest rates on fixed deposits
July 16, 2010
BANGKOK, 16 July 2010 (NNT) —Interest rates on fixed deposits and lending rates have been hiked by financial institutions following the hike in the policy rate by the Central Bank. Krungthai Bank has announced its fixed deposit interest rate hike of 0.25-0.35%, while key lending rates would be increased by 0.125-0.15%, effective today. Siam Commercial [...]
General News »
Summary of the 9th APEC Energy Meeting
July 12, 2010
Thai delegates led by Minister of National Resources and Environment, Suwit Khunkitti, along with international counterparts from 20 countries attended the 9th Asia-Pacific Economic Cooperation (APEC) Energy Ministerial Meeting in Fukui, Japan on 19 June 2010. During the summit, a speech on the “Low Carbon Paths to Energy Security: Cooperative Energy Solutions for a Sustainable [...]
Economy »
4 Govt agencies cooperate to promote Thai investment abroad
July 12, 2010
BANGKOK, 12 July 2010 (NNT) – The Office of Thailand Trade Representative (TTR) joins force with three financial institutions to promote Thai investments abroad, with operators in various business groups showing keen interest in the project. TTR along with SME Bank, EXIM Bank and the Government Pension Fund (GPF) announced their cooperation in credit support [...]
Energy »
Moody´s chops down PTT´s credit
June 29, 2010
BANGKOK, 29 June 2010 (NNT) – An international credit rating firm, Moody’s Investors Service, has lowered the creditworthiness of Thai petroleum giant PTT Plc from A2 to A3 with a negative outlook. Moody’s Investors Service has changed the local currency issuer rating for PTT Plc from A2 stable to A3 negative while the foreign currency [...]
Politics »
One month needed for Interpol consideration over Thaksin´s case
July 16, 2010
BANGKOK, 16 July 2010 (NNT) – A nod from the Paris-based international police intelligence-sharing association, Interpol, over case of self-exiled ex Prime Minister Thaksin Shinawatra should be known within one month. Police Maj-General Terdsak Rujirawong, Commander of the Royal Thai Police Foreign Affairs Division, said on Friday that an arrest warrant on terrorism charge issued [...]