Central Bank to regulate charges

BANK of Zambia (BoZ) says it will regulatate the banking sector on bank charges to protect consumers.
reacting to recent media reports that First National Bank is charging its savings account customers bank charges which are ‘illegal’, BoZ head of public relations Kanguya Mayondi dispelled the impression that has been created.
In a public notice in Lusaka on Monday, Mr Mayondi said it is normal for commercial banks to charge for various products and services that they offer to their customers, and in so doing, respective banks use different pricing conventions to the charges levied.
“…The [central] bank would like to inform the public that no bank has been cited for charging its customers bank charges which could be said to be illegal, as reported. However, the BoZ recognises that in some instances charges levied by some banks may be considered excessive.
“In this regard,  the BoZ is actively addressing the matter and is in the process of issuing regulations that will provide guidance to the banking industry on bank charges,” he said.
Mr Mayondi said the BoZ considers the issue of consumer protection of utmost importance, hence the requirement that commercial banks publish all charges levied for personal, savings, current accounts and other general services on a quarterly basis.
He said this is meant to enable the public to make comparisons and arrive at informed decisions with regard to the choice of banks they may wish to deal with for various bank services they may require.
“The BoZ remains resolute in its efforts to ensure that consumers of banking services are protected from any practices that may be deemed to be unfair,” he said.

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