BY BARNABAS MANEBONA
BANK South Pacific (BSP) Country Manager David Anderson reminds customers to ensure being aware of their loan repayments and leave amounts in their accounts when they withdraw part of their salary.
The Country Manager made this reminder following continuous concern from confusion raised by its customers over shocking arrears of thousands of dollars found in their accounts.
“Every customer signs a form for us to deduct the loan repayment from their savings account and we will do that if there are available funds in their account,” said Anderson.
“There have been a number of system changes over time but customers do not have to make a separate transaction to make their loan repayment.
In clarifying, the Country Manager said a late Payment Fee of $50 will be debited to one’s loan account if they do not pay their repayment five days after the due date.
“Should a customer continue to not make late payments then BSP will eventually act on the security held for the loan to recover the debt in full.
“An example is if a customer gets a salary of $1,000 per fortnight and their loan repayment is $200 per fortnight then they should only withdraw $800 from their savings account. This then leaves $200 in their account so loan payment can be made by BSP.
“If a customer goes and withdraws the full $1,000 or anything more than $800 then there is insufficient funds remaining in the savings account to make the loan payment in which BSP cannot make the loan payment.”
BSP customers reported to Island Sun recently that they are not fully aware of the bank’s new system for customer’s responsibility to leave certain amounts of their salaries for loan payments which is the cause for them to have huge amounts of arrears at the bank.
“The problem is we are used to the banks old system by doing loan deductions themselves in which we customers only withdraw our salaries with nothing to consider,” said concerned BSP customers.
Some school teachers reporting to Island Sun also this week said because of their arrears, there was nothing left for them to withdraw from their salaries account during their recent fortnight.
BSP’s Country Manager advice that should customers who have been affected by the change in system wish to renegotiate their loan then please call at their nearest branch and arrange for their loan account to be renegotiated.
“To assist with getting their loan back on track, BSP will waive the documentation fee for these customers,” said Anderson.
BSP strongly reminds its customers again to read and understand properly the terms in their loan agreements before signing them.