BOT NEARS FINAL DRAFT ON CREDIT CURBS
The Bank of Thailand (BOT) will finalise a draft on measures to control the growth of personal loans by the end of this month, according to Somboon Chitphentom, assistant governor for the financial institutions policy group.
He said the BOT needed to control personal loans now that debt is growing among the young, with high rates of non-performing loans. He declining to disclose details of the draft.
However, an anonymous source in the financial sector earlier said that the BOT had held a meeting with financial institutions on June 28 and finalised directions to adjust regulations on credit cards and personal loans. They are expected to be announced on August 1.
According to the source, the planned regulations are expected to set a credit-card loan limit of 1.5 times the income of any person making less than Bt30,000 a month and no more than three times for those making more than Bt30,000 but less than Bt50,000. For personal loans, cash cards and |zero per cent loans, an income earner |of no more than Bt30,000 per month will likely be given a loan limit of no more than 1.5 times of his income, |and be allowed no more than three cards.
At the end of first quarter, credit card accounts totalled 18.47 million, National Credit Bureau data shows.
