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  • Introduction

    • BC-1.1.1

      The purpose of the content of this Section is to set out requirements pertaining to the promotion of financial services and products offered in/from Bahrain by conventional retail bank licensees. For the purposes of this Section, promotions mean all types of promotional campaigns, competitions, merchant discount schemes/loyalty programmes or other schemes of similar nature offered to customers or prospective customers by means of incentives etc.

       

      Amended: January 2022
      Added: October 07

       

    • BC-1.1.2

      Conventional retail bank licensees must ensure that all the following requirements are met with regards to promotion of products or services:

      (a) They do not involve a breach of Bahrain law or any other relevant applicable law or regulation;
      (b) All documentation concerning promotions is in a language necessary for customers to fully understand and appreciate the products or services;
      (c) Customers to whom promotions are directed must enjoy equal opportunity in terms of access to, and treatment within such schemes;
      (d) The communication concerning promotions must be clear, concise, truthful, unambiguous and complete to enable customers to make a fully informed decision; and
      (e) Where the promotion involves communication of earnings potential or benefits associated with the products or services promoted, all costs, charges or levies and risks are also disclosed.

       

      Amended: January 2022
      Amended: October 2012
      Amended: January 2011
      Added: October 07

    • BC-1.1.3

      Licensees using character-limited media (e.g. social media platforms such as Instagram, Facebook etc.) as a means of promoting complex features of financial products or services should provide a reference or link to more comprehensive information available elsewhere.

       

      Amended: January 2022
      Amended: January 2011
      Added: October 07

    • BC-1.1.4

      Conventional retail bank licensees must ensure that the following requirements are met with regards to raffles/lotteries:

      (a) Adequate systems and documented procedures are in place that describe the checks and balances to ensure fair play, impartiality and the inclusion of eligible participants as well as for informing participants of the results of a raffle/lottery without delay;
      (b) They are subject to the rules and requirements (including prior authorisation/approval) laid down by the Ministry of Industry, Commerce and Tourism;
      (c) The raffle draw date of the announced prize/incentive/campaign is disclosed in advance to the public and that other subsequent announced prize/incentive/campaign follow the same approach. Raffle dates must not be postponed unless a valid reason is stated/indicated;
      (d) The winner(s) report includes the winner's name, CPR number, mobile number and the number of chances (e.g. tickets/ certificates) in the draw;
      (e) Each draw of the raffle/lottery held as part of the bank’s promotional scheme is independently verified and monitored/witnessed by the bank’s internal auditor and, additionally, draws involving prizes of BD 10,000 or above in aggregate must be independently verified and monitored/witnessed by the bank’s external auditors;
      (f) An annual check and a comprehensive audit on the “raffle draw” system is conducted by the external IT auditor. In addition, a detailed report in this regard from such auditor must be submitted to the CBB within 3 months from year-end and a copy is sent to the consumer protection department in the Ministry of Industry, Commerce and Tourism; and
      (g) The internal auditor periodically reviews, at least annually, all promotions, raffles/lotteries in addition to the systems, procedures, processes and related operational risks.

       

      Amended: January 2022
      Amended: April 2008
      Added: October 07