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Central Bank increases credit card credit limit to 4 million

Bangladesh Bank has issued new guidelines for the use of credit cards. The new guidelines have increased the credit limit disbursable through credit cards by banks. Previously, the maximum credit limit for credit cards was 25 lakh taka, now it has been increased to 4 million taka. At the same time, the unsecured loan limit has been increased from 10 lakh taka to 20 lakh taka, which is double the previous limit.

The guidelines issued on Sunday (March 15) said that the unsecured loan limit has also been increased compared to the previous ones.

The central bank says that the trend of using credit cards in daily transactions is increasing rapidly in recent times. Many people are using credit cards to pay for various products and services instead of carrying cash. For this reason, new guidelines have been issued by updating the previous policies to bring discipline in credit card management and to keep it in line with the new situation.

These guidelines also emphasize customer protection, risk management and dispute resolution related to credit cards. At the same time, banks have been instructed to provide loans responsibly.

The new guidelines detail issues such as credit card types, customer eligibility, credit limit determination, interest rates, card issuance and marketing, billing and collection methods, customer privacy protection and security measures.

Bangladesh Bank said that the new guidelines have been prepared after reviewing customer complaints about credit cards, fraud, transaction payment complications and various dispute resolution issues. From now on, banks and financial institutions will have to follow these guidelines and conduct credit card activities.