Zimbabwe banks adopt new code of practice

Published: 17 February 2015

The Bankers Association of Zimbabwe has adopted a new code of banking practice which all members of the association will be obligated to comply with in a move aimed at fostering customer confidence in the banking system.

The code, which will ensure that customers are fairly and reasonably treated when executing transactions with banks, has been hailed as a step in the right direction and will enhance transparency within the sector which has been making headlines for all the wrong reasons.

According to the code, customers have access to information on banks' products and services in simple language.

The practice entails banks to give reasonable prior notice of intention to close any branch or ATM centre.

This comes after several banks have closed often without prior warning to unsuspecting depositors, resulting in loss of millions of dollars.

Changes to ATM charges on ATM messages and/or advertisements in the media will be notified through sms.

In terms of interest rates, the banks are now obliged to give notice to changes that may take place from time to time.

Details of charges for basic banking services will now be provided in full on request.

The banks, through their association promise to ensure that the procedures banking staff follow reflect the commitments set out in the code and give effect to consumer rights.

Banks are allowed to treat depositor information as private and confidential unless compelled to do so by law.

"It is your responsibility to disclose all relevant information as part of any credit application to us so that we may make an informed decision to grant credit to you.

"To enable us to take the necessary measures to prevent or limit fraud or theft on your account it is your responsibility to inform us as soon as possible when you discover any unauthorised activities on your account," read part of the code.

- herald