KARACHI: Account holders will be able to get compensation from financial institutions in case of delayed transfer of amount at the mark-up of 3 percent above the policy rate of the State Bank of Pakistan (SBP).
To facilitate general public for timely realization of funds in their bank accounts and ensure consumer protection, State Bank on Thursday issued ‘Guidelines for Clearing Operations’ for compliance by Clearing House (s) and its members (banks and microfinance banks) involved in clearing of Pak Rupee payment instruments.
The guidelines, which will be effective from Jan 1, 2018, have been issued in terms of the powers conferred upon State Bank of Pakistan under the Payment Systems and Electronic Fund Transfers Act, 2007.
According to the guidelines in case the collecting bank fails to credit the payee’s account as per the timelines mentioned in these Guidelines, due to any reasons (like payment instrument lost during transit or error/discrepancy in payment instruments made by Clearing House or Bank during the processing of payment instruments), it shall pay the mark up at 3 percent above the SBP policy rate to payee for the period of delay subject to determination and notification of the error as per Section 36 of the PS&EFT Act, 2007
SBP further said that Collecting Bank shall pay the compensation amount to payee’s account without any claim from the payee within thirty-one days from the lodge of payment instrument by the payee.
In case the Collecting Bank is not responsible for the delay it can claim the compensation payment from Drawee or Clearing House whoever is responsible except in case the Drawee/Clearing House has declared force majeure.
Banks/Clearing House shall not be liable to compensate the payees in case the Bank/Clearing House declares force majeure. The Bank shall communicate the force majeure events to customers.
Banks/microfinance banks have also been advised to make arrangements for centralized clearing of their intercity instruments through their designated branches in cities where they are present to reduce the clearing time due to physical movement of instruments.
Further, in order to timely resolve customer complaints, dispute resolution mechanism with turnaround time has also been prescribed for banks/microfinance banks. In addition, all banks/microfinance banks have also been advised to disclose the cut-off time for presentment of payment instruments, timelines to credit the customers’ accounts, and the roles, responsibilities and liabilities of customers with respect to collection and clearing of payment instruments.
