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  • PD-4.1 PD-4.1 Disclosure of current effective rate of interest on consumer loans

    This version of Module PD was replaced in April 2008. Click here for the current Module PD.

    • PD-4.1.1

      This version of Module PD was replaced in April 2008. Click here for the current Module PD.

      The contents of this Section are applicable to all retail banks licensed by the Central Bank.

      October 07

    • Display of rates by conspicuous notice

      This version of Module PD was replaced in April 2008. Click here for the current Module PD.

      • PD-4.1.2

        This version of Module PD was replaced in April 2008. Click here for the current Module PD.

        The Central Bank requires all retail banks to display, by a conspicuous notice, their current effective rate of interest on consumer loans. This requirement does not extend to overdrafts or revolving credit facilities such as credit cards.

        October 07

      • PD-4.1.3

        This version of Module PD was replaced in April 2008. Click here for the current Module PD.

        'Consumer loans' are defined in CM-8.3.2.

        October 07

      • PD-4.1.4

        This version of Module PD was replaced in April 2008. Click here for the current Module PD.

        'Conspicuous notice' means a written statement in both Arabic and English languages which is easily visible and legible and is displayed in all retail banks' premises open to the public.

        October 07

      • PD-4.1.5

        This version of Module PD was replaced in April 2008. Click here for the current Module PD.

        Retail banks are given discretion as to how the current effective rate of interest is expressed as a calculation (e.g. as a 'base rate' or as a range of rates) as long as the conspicuous notice provides real and meaningful information to the customer.

        October 07

    • Advertising of consumer loan facilities

      This version of Module PD was replaced in April 2008. Click here for the current Module PD.

      • PD-4.1.6

        This version of Module PD was replaced in April 2008. Click here for the current Module PD.

        Any advertising of consumer loan facilities offered by the banks should specify only effective rates of interest (including all fees and charges) and not flat rates.

        October 07

      • PD-4.1.7

        This version of Module PD was replaced in April 2008. Click here for the current Module PD.

        Banks are also asked to take special care to ensure that the content of any advertising material does not mislead or deceive the public in any way.

        October 07