mba code of banking practice booklet

7/28/2019 MBA Code of Banking Practice Booklet

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MAURITIUS BANKERS ASSOCIATION

2007 EDITION

CODE OF

BANKINGPRACTICE


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MEMBERS

1. Bank of Baroda

2. Banque des Mascareignes Lte

3. Barclays Bank PLC

4. Deutsche Bank (Mauritius) Limited

5. First City Bank Ltd

6. Habib Bank Limited

7. HSBC Bank (Mauritius) Limited

8. Indian Ocean International Bank Limited9. Investec Bank (Mauritius) Limited

10. Mauritius Post and Cooperative Bank Ltd

11. P.T. Bank Internasional Indonesia

12. SBI International (Mauritius) Ltd

13. SBM Nedbank International Limited

14. South East Asian Bank Ltd

15. Standard Bank (Mauritius) Limited

16. Standard Chartered Bank (Mauritius) Limited

17. State Bank of Mauritius Ltd

18. The Hongkong and Shanghai Banking Corporation Limited

19. The Mauritius Commercial Bank Ltd


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MBA CODE OF BANKING PRACTICE

. Introduction

2. Ourkeycommitmentstoyou

3. Choosingtherightproductsandservicesthatmeetyourneeds

4. Termsandconditions

5. FeesandCharges

6. Customerinformation

7. AdvertisingandMarketing

8. Provisionofcredit

9. Runningyouraccount

0. DormantAccounts/AbandonedFunds

. ForeignExchangeServicesandCross-BorderPayments

2. CardsandPINs

3. OnlineBanking

4. Liabilityforlosses

5. Reasonablecare

16. Financialdifculties

7. Disputeresolution

8. Businesscontinuity

MBA CODE OF BAN KI NG PRACTICE

CONTENTS


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2 MBA CODE OF BANKING PRACTICE

1. INTRODUCTION

TheCodeofBankingPractice(theCode)isavoluntarycodeofconductwhich

setsoutthestandardsofgoodbankingpracticethatweasbanksshouldobservein

ourdealingswithcustomersandpotentialcustomers.Wewant toestablishagood

relationshipwithyouandalsopromotegoodbankingpracticebyformalisingstandards

ofdisclosureandconductwhichwewillobservewhendealingwithyou.Wecommit

ourselvestomaintaintherelevantstandardsoffairnesssetoutinthisCode.

IndividualcustomersshouldndtheCodehelpfulinunderstandinghoweverybank

isexpectedtobehavetowardsthem.

The Banking Act provides for the appointment of an Ombudsperson for Banks.

As at the date of publication of this Code the Ombudsperson has not yet beenappointed.However,once theOmbudspersonisappointed,wewouldbeprepared

tosubmitourselvesto thejurisdictionof theOmbudspersonforBankstomediate,

tomakebindingdeterminationsbasedonthe law,whereappropriate,andtomake

recommendationsinothercircumstancesincludingthosebasedonequity.

We will comply with all applicable legislation, codes, rules and supervisory

requirements,specicallythoserelatingtobanking,marketconductandconsumer

protection.

However,noneoftheprovisionsofthisCode:

Willaffectyourstatutoryrights.

WillbelegallybindinginanyCourtoflaw.

Willconstituteanimpliedtermofyourcontractwiththebank.

Maybeusedasanaidtointerpretationorinanywaytoinfluencethe

interpretationoflegalrelationshipbetweenyouandyourbank.

Willgiverisetoatradecustomortacitcontractorotherwise

betweenyouandyourbank.

InthetextofthisCode,YoumeanstheClientandWe,Ourandusreferto

theclientsbank.AlistofdenitionsofcertainwordsandphrasesusedintheCodeis

providedintheglossary.

TheCodewillbereviewedeverythreeyearsorsooner,ifsorequired.

TheCodeappliesasfromJanuary2007.


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MBA CODE OF BANKING PRACTICE 3

2. OURKEYCOMMITMENTSTOYOU

Wepromisethatwewillactfairlyandreasonablyinallourdealingswithyouby

meetingallthecommitmentsandstandardsinthisCode.Wewill:

2. ensurethatclearinformationisavailableinrespectofallourservicesand

products;

2.2 ensure that our advertising and promotional literature is clear and

notmisleading;

2.3 assist you to choose a service or product appropriate to your needs and

understand thebasicfinancialimplications of theproducts or services you

choose;

2.4 assistyoutounderstandhowyouraccount(s)works;

2.5 helpyoumonitoryouraccount(s)bysendingyouregularstatements(where

appropriate)andwewillkeepyouinformedaboutchangestotheinterestrates,

charges,termsandconditionsthatmayapplytoyouraccountswithus;

2.6 providereliablebankingandpaymentsystemsservicesandtakereasonable

caretomaketheseservicessafeandsecure;

2.7 ensure that the products and services we offer andmore particularly our

lending criteria, are based solely on commercial principles and do not

discriminateagainstyouonanybasisnotpermittedbylaw;

2.8 publicise thisCode,have copiesavailable andmakesure thatour staffare

trainedtoputitintopractice;

2.9 treatallyourpersonalinformationasprivateandconfidential;

2.0 considereach caseoffinancialdifficultyon itsmeritsandactquicklyand

effectively;

2. informyouaboutourcomplaintsproceduresandhandlecomplaintsspeedily;

2.2 generallyactonyourwritteninstructionsonlyafteryoursignaturehasbeen

verified. We will act in accordance with other forms of instructions in

exceptionalcircumstancesonlyorwherethenatureoftheprocesssodictates,

for example ATM, telephone, internet or any other form of electronic

banking.


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3. CHOOSING THE RIGHT PRODUCTS AND SERVICES THAT

MEETYOURNEEDS

3. Beforeyoubecomeacustomer,wewill:

Giveyouclearinformationexplainingthekeyfeaturesoftheservices

andproductsyoutellusyouareinterestedin.

Giveyouclearandappropriateinformationonthedifferenttypesof

productsandaccountsavailablefromus toassistyouinmakingan

informedchoiceappropriatetoyourneeds.

Tellyouwhatinformationweneedfromyoutoproveyouridentity

(bylaw,wearerequiredtoascertainyouridentitytoassistinprotecting

ourcustomers,membersof thepublicandourselvesagainst fraud

andothermisuseofthebankingsystem). Makeavailabletoyourecommendedsafetymeasuresandtipsonour

servicesandproductsinwhichyouexpressaninterest.

3.2 Wewilltellyouifweofferproductsandservicesinmorethanoneway(for

example,ontheinternet,overthephone,inbranchesandsoon)andtellyou

howtofindoutmoreaboutthem.

3.3 Anyinformationprovidedwithrespecttoproducts/servicesshallbedeemed

tobeaguidelineonlydesignedtoassistyouinmakingyourowndecisions.

4. TERMSANDCONDITIONS

4. Wewillgiveyouallrelevanttermsandconditionsfortheproductyouhave

askedustoprovide,whenyouapplytobecomeacustomeroracceptaproduct

forthefirsttime.

4.2 Allwrittentermsandconditionswillbefairandwillclearlysetoutyourrightsand

responsibilitiesinrespectofaproductorserviceinplainlanguage.Wewilluse

legal and technical language onlywherenecessary.Where legal and technical languageisused,wewillexplainwhatwemean.Ifyouarestilluncertainafter

studyingtheexplanation,youmayapproachusforfurtherclarification.

4.3 Whenyoubecomeacustomer,wewillinformyouastothemodebywhichyou

willbeapprisedaboutchangestothosetermsandconditionswhichweareentitled

by law tomodify. This will normally be through direct communication to the

customerorbyadviceondisplay inbranchesorATMsorbystatementsin the

mediabeforethechangesareimplemented.Wewillgiveyoureasonablenotice,

whichinnormalcircumstancesshallnotbelessthan30daysbeforeanychange


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takeseffect,sothatyouwillhavetimetodecidewhetheryouwanttocontinue

withtheproductorservice.

4.4 Wewill,uponrequest,andiftherearesignificant changesina2months

period towarrant it,make available to youasingle documentproviding a

consolidation of the variationsmade to the termsandconditions over that

period.

4.5 Undernormalcircumstances,wewillnotcloseyouraccountwithoutgiving

youreasonablewrittennotice,which,inanycase,shallnotbelessthan7days,

atthelastaddressyougaveus.

4.6 However,subjecttoyourrightunderParagraph7,wereservetheright,to

protect our interest, to take such other measures as we deem appropriate includingsummarilyclosingyouraccountforthefollowingnon-exhaustive

reasons:

Ifwearecompelledbylaw.

Ifyouusethreateningandabusivebehaviourtowardsstaff.

Ifwe have reasons to believe that your account is beingused for

fraudulentand/orillegalpurposes.

4.7 Wewillnormallyprovideyouwith30dayspriornoticeofourintentionto

closeanyofourbankbranches,outletsorATM/electronicbankingcentres.

5. FEESANDCHARGES

Feesandcharges

5. We will make available to you rates of the fees and charges, if any,

payable in connection with the operation of your accounts. These will

beintheformofpublishedtariffscoveringbasicaccountservices,whichwill

be given to youat the time the accountsare opened and atany time upon

request.

5.2 Ratesofthefeesandchargeswithrespecttoallourproductsandserviceswillbe

conspicuously displayed in the public part of our branches and will also be

postedonourwebsites.Details of any changes tothe ratesof those feesand

chargeswill begivenbydirectcommunicationto customersor by adviceon

display in branches or by statements in the media before the changes are

implemented.

5.3 We will inform you of the nature and amount of charges debited to

youraccounts.


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Interestrates

5.4 Wewillinformyouoftheinterestratesapplicabletoyouraccounts,themanner

inwhichinterestiscalculatedandwhenitwillbechargedtoyouraccounts.

Thesewillincludetheratesapplicableandanyotherapplicablefees/charges when your accountsare overdrawnwithout prior agreementor exceedthe

agreedborrowinglimit.

5.5 Whenwe change interest rateswith immediateeffect,wewill give public

noticeofthosechanges,forexample,bynoticesinourbranchesorinthepress

oronstatementsorthroughourATMnetworkorourwebsites.

6. CUSTOMERINFORMATION

6.. Wewill treat all customer information as strictly private and confidential

(evenafteryouceasetobeacustomer).Wewillnotrevealyourpersonaldetails

ordetailsaboutyouraccountstoanyoneexceptwhenrequiredorallowed

underthelaworwhenwehaveyourpermissiontodoso.

6.2. Wewillnotpressyoubyrestrictingaccesstoanyofour standardservices

and products upon the condition that you consent to pass your personal

informationtoanycompany,includingthoseinourgroup.

6.3 Undercertainconditions,wearerequiredtodiscloseinformationaboutyour

creditexposuretotheMauritiusCreditInformationBureau(MCIB).

7. ADVERTISINGANDMARKETING

7. Wewillmakesurethatalladvertisingandpromotionalmaterialisclear,fair

andnotmisleading.

7.2 Wewillmarketandapprovecreditresponsibly,basedontheinformationyou

supply to us, to match your requirements and capabilities and supply you withsuitableproducts,inanattempttoensurethatyouarenotextendedbeyond

yourfinancialmeans.

7.3 Wemay inform you about the services or products of another company.

Ifyouagree,thatcompanymaycontactyoudirectly.


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8. PROVISIONOFCREDIT

8.. Alllendingwill be subjecttoan assessment of your abilitytoafford such

facilityandyourwillingnesstorepay.Thisassessmentwillinclude-butwill

notbelimitedtothefollowing:

Checks we are required to carry out with the Mauritius Credit

InformationBureau(MCIB).

Checkswemaycarryoutwith otherbankswithwhom youhave

transactedpreviouslytoascertainyourcreditworthiness.

How you have conducted your previous and existing accounts

withus.

Informationsuppliedbyyou,includingverificationofyouridentity

andthepurposeoftheborrowing.

Anysecurityorcollateralprovided.

Creditscoring.

Yourfinancialstatements.

8.2 Whenweextendcredittoyou,includingamortgageloan,weshalldiscloseto

you:

(i) the interestchargedthereonandthemanner inwhichit is tobe

calculated;

(ii) anyapplicablefeesorotherchargesandthemannerinwhichthey

aretobecalculated; (iii) alltermsandconditionsapplicabletothecredit,clearlyidentifying

your obligations and encourage you to take independent legal

advice;

(iv) theoperationandrepaymentofyourloan,includingallthecharges

and costs, and the additional interest and costs payable should

youraccountfallintoarrears.Wewillalsoexplainthebenefitsand

possibleadditionalfeeswithregardtoacceleratedpayment;

(v) thatyourcreditfacilitymay,subjecttoParagraph6,berecalled

at any time, shouldyou fail to respect the terms and conditions

applicabletothecredit;

(vi) thatyouriskthepossibilityoflosinganypropertygivenassecurity

shouldyounotkeepupyourloanrepayments;and

(vii) whether thebankrequires insurance tobe takenout andwhose

responsibilityitistoarrangefortheinsurance.

8.3 Ifyouwantustoacceptanyguarantororothersecurityfromsomeoneforyour

loans,wewill:


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(i) adviseandcautiontheguarantorthat,bygivingthesuretyorother

security,theymaybecomeliableinsteadof,oraswellas,you;

(ii) encouragetheguarantortotakeindependentlegaladvicetomake

sure that they understand the commitment and the potential

consequencesofsuchadecision;

(iii) ensurethatall thedocumentstheguarantorwillbeaskedtosign

willcontainclearandprominentnoticetothiseffect;

(iv) advise the guarantor whether it is a limited (and themaximum

value)orunlimitedsuretyand tell themabout theimplicationsof

anunlimitedsurety;and

(v) undertaketoinformtheguarantorassoonasreasonablypossibleif

theprincipalhascommittedabreachofthetermsofanyfacility.

9. RUNNINGYOURACCOUNT

9. We recommend you to check your statements or savings account book

regularly.Ifyourstatementorsavingsaccountbookhasanentrythatseemsto

be wrong, you should tell us as soon as possible, so that we can resolve

matters.

Tohelpyoumanageyouraccountandcheckentriesonit,wewillgive

youregularaccountstatements,atleastonahalfyearlybasisunless

you request otherwise or this is not appropriate for the type of

accountyouhave(suchasanaccountwhereyouhaveapassbook). You can ask us to give you account statements more often than

isnormallyavailableonyour typeof account,but theremaybea

chargeforthisservice.

You should manage the use of your statements to meet your

requirements taking into account the charges associated with

providingthem.

9.2 Wewill,uponrequest,adviseyouastohowdirectdebits,standingordersand

recurringtransactionsworkandhowyoumaycanceloneofthesewhenyou

nolongerrequireit.

9.3 Wewill keep original chequespaid from your accountor copies of these,

fortheperiodprescribedbylaw.

9.4 Ifweretainacheque,wewillkeepthechequeforaperiodofatleast0years

asfromthedatethechequeisdrawn.

9.5 If,aftertheperiodof0yearsreferredtoinParagraph9.4,wehavenotkept

theoriginalofthechequeweshallkeepalegiblecopythereofinsuchformas

isrequiredbylawforafurtherperiodof20years.


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9.6 IfwedonotkeepsuchacopyofthechequeasreferredtoinParagraph9.5,

weshallkeepthechequeforaperiodof20years.

9.7 Wherewehavepaidacheque,uponrequestbyyouasdrawerwewillwithin

areasonabletimeprovideyouwitheitherthechequeoralegiblecopyofthe chequeonpaymentofafee.

9.8 Wewill,uponrequest,adviseastohowwedealwithunpaidchequesandout

ofdatecheques.

9.9 Wewill,uponrequest,adviseastohowandwhenwemaystopachequeor

countermandothertypesofpayments.

9.0 Wewill,onrequest,adviseastowhenfundscanbewithdrawnafteracheque

orotherpaymenthasbeencreditedtotheaccount.

9. Wewillinformyouifachequeyouhavedepositedhasbeenreturnedunpaid.

9.2 Itisessentialthatyoukeepusinformedofanychangewithrespect toany

informationprovidedatthetimeoftheopeningoftheaccountandwhichmay

haveaneffectontheday-to-dayrunningofyouraccount(e.g.name,address,

revenue,employer).Youwillberequiredtosubmitdocumentaryevidence.

10. DORMANTACCOUNTS/ABANDONEDFUNDS

0. Wherethefundsyouhavedepositedwithusfallbelowourminimumbalance

requirement (which may vary among banks) and these have been left

untouchedforaminimumperiodofoneyear,wewillnotifyyouinwriting

priortoapplyinganyservicefeesorcharges.Shouldyoufailtorespondwithin

6monthsofsuchnotificationmadetoyou,yourdepositwillbetransferredto

thecentralbank.

0.2 Bylaw,wearerequiredtotransfertothecentralbankfundsyouhavedeposited

withus,whichhavebeenleftuntouchedandnotreclaimedforaperiodof0

yearsormore.Priortothetransferoffunds,wewillinformyouinwritingatthe

lastknownaddressyouhaveprovidedus.Ifyoudonotrespondwithin6months ofournotification,thefundswillbetransferredtothecentralbank.

0.3 FundstransferredtothecentralbankinaccordancewithParagraphs0.and

0.2willalwaysremainyourproperty(orifyoudie,itwillbecomepartof

yourestate).Thisisthecasenomatterhowmanyyearspass.However,such

funds will not bear any interest. Upon request, we will advise you of the

processtoretrieveyourfunds.


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11. FOREIGN EXCHANGE SERVICES AND CROSS-BORDER

PAYMENTS

. Wewillexplaintheservices, details of the exchangeratesand the charges

whichwill applytoourforeignexchangeservices.The ratesofthefeesor

chargeswillalsobedisplayedinourbranchesand/orourwebsite.

.2 When you wish to effect cross-border payments, we will, upon request,

provideyouwithdetailsoftheservicesweoffer.Indoingso,wewillprovide,

asaminimum:

(i) abasicdescriptionof theappropriateservicesavailableand the

mannerinwhichtheycanbeused;

(ii) informationas towhenmoneysentabroadonyour instructions

maybeexpectedtoarrive;and

(iii) thedetailsoftheexchangerate,anycommissionorchargespayable

to us including a warning where agents' charges may also be

incurred.

.3 Ifmoneyis transferredtoyourbankaccountfromabroad,wewilltellyou

theamountreceivedandanychargesapplicable.Ifthesenderhasagreedtopay

allcharges,wewillnottakeoffchargeswhenwepaythemoneyintoyour

account.

12. CARDSANDPERSONALIDENTIFICATIONNUMBERS(PINS)

Thissectionappliestocardsasdefinedintheglossary

Generalfeaturesofcards

2. Unlessyouridentityhasalreadybeenverifiedbyus,wewillrequestyouto

establishyouridentitywhenyouapplyforacard.

2.2 Wewillonlyissueanewcardtoyouuponrequestorinreplacementofany existingcard.

2.3 Wewillinformyouifthecardissuedtoyouhasmorethanonefunction.

2.4 Whenyouapplyforacredit/debitcard,wewilltellyouhowitworksandgive

youthetermsandconditions.

2.5 Ifyoudonotrecogniseacardtransactionthatappearsonyourstatement,we

willgiveyoumoredetailsifyouaskus.Insomecases,wewillneedyouto

giveusconfirmationthatyouhavenotauthorisedatransaction.


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MBA CODE OF BANKING PRACTICE

2.6 If weare satisfied that a transaction isunauthorised, the amount involved

togetherwithanyinterestcharged,asaconsequenceofthetransactionbeing

unauthorised,willberefundedunlessyouhaveactedfraudulentlyorwithout

reasonablecare.

2.7 Wewillinformyouastothefrequencyatwhichyouwillreceivearequest

forpaymentandtheperiodwithinwhichpaymentshouldbemade.

2.8 Wewillinformyouinwriting,notlessthan30daysbeforeanyvariationof

thetermsandconditionsrelatingtoyourcardsbecomeseffective.

PINs

2.9 WewillgiveyouyourPINseparatelyfromyourcard.Wewillnotrevealyour PINtoanyoneelse.

2.0 Wewilltellyouaboutoursystems,whichallowyoutochooseandchange

yourPIN.

Creditcards

2. When we issue a card to you, our literature will provide the following

information:

(i) yourrightsandobligationsinrespectof:

a. the credit limit authorisedunder the card and the amount of

indebtednessoutstandingatanytime;

b. theperiodoftimeforwhicheachstatementisissued;

c. anychargesandinterestcostsforwhichyoubecomeresponsible

foracceptingandusingthecard;

d. theminimumamountinrespectofthebalanceoutstandingthat

mustbepaidattheendofeachstatementperiod;and

e. themaximumamountofyourliabilityforunauthoriseduseof

thecardwhereitislostorstolen.

(ii) the cost of borrowing in respect of any loan obtained through

theuseofthecard;

(iii) theexchangerateappliedandthemannerinwhichitiscalculated;

(iv) in theevent therequired instalment isnotpaidontheduedate,

particularsof thechargesandpenalties thatyou shouldpay; and

(v) theamountofanychargeorfeeforwhichyouareresponsiblefor

acceptingandusingthecardandthemannerinwhichthechargeis

calculated.


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2.2 Beforewegiveyouacreditlimitorapproveyourrequestforanincreaseinthe

creditlimit,wewillmakeanassessmentastoyourrepaymentcapacity.

2.3 Wemay increase or decrease yourcredit limitonyourcard. Howeverwe

willnotchangeyourcreditlimitunlesswehaveinformedyoubeforehand.

Youcancontactusatanytimeifyouwanttoreduceyourcreditlimitoropt

outofreceivingcreditlimitincreases.

2.4 Youwillreceiveamonthlystatementforyourcreditcardunlessyouraccount

hasanilbalanceandhasnotbeenused.Themonthlystatementwillinclude

informationabouttransactionssincethelaststatementdate,anyinterestand

othercharges/fees,whichapply,andtheminimumrepayment.

2.5 Wewillinformyouoftheperiodoverwhichanypromotionalofferinrelation toyourcreditcardwillapply.

2.6 Ifyoumakeacashwithdrawalwithacreditcard,wewilltreatitasacash

advance and you may be charged a handling fee and interest at the cash

advancerateasfromthedateofthewithdrawaluntilfullpaymentiseffected.

13. INTERNETANDTELEPHONEBANKING

Onlineandtelephonebankingaresafeaslongasyoutakeanumberofsimple

precautions:

Keepyourpassword/PINsecret.

Reviewyourbankstatementsandreconcileyouraccountsregularly.

Treatemailsyoureceivewithcautionandbewaryofemailsorcalls

askingyoutorevealanypersonalsecuritydetails.NeitherthePolice

norwewillevercontactyoutoaskyoutorevealyouronlinebanking

orpaymentcardPINs.

CheckthesitesecuritycertificatefortheInternetBankingsiteeach

timebeforeyoudoyourbanking.

Changethepasswordthatwasissuedtoyoutoapasswordofyour

choiceknownonlytoyou.

Shouldyoubeawarethatyoursecretaccesscode/PIN/passwordor

otheruniquemeansofpersonal identificationhasbeenobservedby

anyone,changeitimmediately.

Thesecurityofyourpersonalcomputerisyourresponsibility.

Ensure that you have read and are familiar with the terms and

conditionsofyourbankswebsite,includinganysecurityprecautions,

andtheproducttermsandconditionsonthewebsite.

Do not use the browser facility to store your password in order


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to avoid having to enter it each time you transact, using internet

banking.

Ensurethatthereisadequateanti-virusandsecuritysoftwareinstalled

andenabledonthecomputeryouuseforinternetbanking.

14. LIABILITYFORLOSSES

4. It is essential that you tell us as soon as you can if you suspect or

discoverthat:

Yourchequebook,passbookorcardhasbeenlostorstolen;or

Someone else knows your PIN, password or other security

information.

4.2 Thebest wayof informingus about the losswill usuallybe by telephone

initially,usingthenumberswehavegivenyouorbyemailifwehavegiven

youanaddressforthispurpose.Youneedtothereafterpromptlyconfirmthe

lossinwriting.Wemayrequireyoutogiveastatementtothepoliceaboutthe

lossortheftofyourcard.

4.3 Afteryouinformusthatachequebook,savingsaccountbookorcardhasbeen

lostorstolenorthatsomeoneelseknowsyourPIN,passwordorotherunique

meansofpersonalidentification,wewilltakeimmediatestepstopreventthese

frombeingusedtoaccessyouraccount.

4.4 Subject to Paragraphs 4.6 and 4.7, we will refund you the amount of

any transaction together with any interest or charges associated with the

disputedtransactioninthefollowinginstances:

Where you have not received your card and it is misused by

someoneelse.

Foralltransactionsnotauthorisedoreffectedbyyouafteryouhave

informedusoftheinformationlistedinParagraph4..

Where systemmalfunctionshaveoccurred inATMsorassociated

systems,whichwerenotobviousorsubjecttoawarningmessageor

noticeatthetimeofuse.

4.5 If someone else uses your card before you tell us it has been lost or

stolen,thebankwillrefundanydisputedtransactionsif:

Youhaveexercisedreasonablecareinsafeguardingyourcardfrom

riskofloss,theft,orunauthoriseduse;and

Youimmediatelyandwithoutdelaynotifiedthebankupondiscovery

oftheloss,theft,orunauthoriseduse;and


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APINhasnotbeenusedasthecardholderverificationmethodforthe

unauthorisedtransaction(s);and

Youhavecompliedwiththetermsandconditionsofthecardholder

agreement.

4.6 Ifyouactfraudulently,youwillberesponsibleforalllossesonyouraccount.

If youhave actedwithout reasonable care and this causes losses, youmay

be responsible for them.Your responsibility may also applyif you failto

followmeasuressetoutinParagraphs3and5.

4.7 Whenacreditcardtransactionisdisputed,wewouldrequestyourpatience

andcooperationwhilewewillconductaninvestigationtoestablishwhether

therehasbeenfraudandnegligence.Insuchcases,weexpectyoutocooperate

withusandthePoliceinanyinvestigationandweundertaketoreverttoyou within30daysofyournotificationtothebankofthedisputedtransaction.

15. REASONABLECARE

5. Thecareofyourcheques,passbook,cards,PINsandothersecurityinformation

isessentialtohelppreventfraudandprotectyouraccounts.Pleasemakesure

thatyoufollowtheadvicegivenbelow.

Donotkeepyourchequebookandcardstogether.

Never give your account details or other security information to anyoneunlessyoucanreasonablytrustthepersonandyouare

informedwhyhe/sheneedsthem.

Donotallowanyoneelsetouseyourcardanddonottellanyoneelse

yourPIN/password.

IfyouchangeyourPIN,youshouldchooseyournewPINcarefullyand

avoidPINsthatareeasytoguess,suchasoryourdateofbirth.

TrytorememberyourPIN,passwordandothersecurityinformation

anddestroythenoticeassoonasyoureceiveit.

Neverwrite down or record your PIN, password or othersecurity

information.

DonotkeepbothyourcardandPINtogether.

AlwaystakereasonablestepstokeepyourcardsafeandyourPIN,

passwordandothersecurityinformationsecretatalltimes.

Keepyourcard receiptsandotherinformationaboutyouraccount

containingpersonaldetails(forexample,statements)safeandgetrid

ofthemcarefullybydestroyingthem.

Take carewhen storing or getting rid of information about your

accounts. People who commit fraud use many methods, such as

binraiding,togetthistypeofinformation.Youshouldtakesimple


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stepssuchasshreddingprintedmaterial.

Ensurethatyouarealerttotherisksofmuggingandcardswapping

whenusingATMsorotherelectronicbankingdevices.

DonotuseATMs/POSthathaveobviouslybeen tamperedwithor

thatcontainwarningmessages.

5.2 Youarebylawrequiredtoexercisereasonablepromptnessinexaminingthe

bankstatementswesendyou.Ifthereisanentrythatseemstobewrong,you

shouldtellusassoonaspossiblesothatwecansortitout.Wewillremindyou

tocheckyourstatementseverytimewesendyouastatement.

16. FINANCIALDIFFICULTIES

6. Shouldyouraccountgointodefault,ourfirststepwillbetotrytocontactyou todiscussthematter.

6.2 Ifyoufindyourselfinfinancialdifficulties,youshouldletusknowingood

timeand,inparticular,respondtoourcommunicationsassoonaspossible.The

soonerwediscussyourproblems,theeasieritwillbeforbothofustofind

a solution and develop a plan with you for dealing with your financial

difficulties,consistentwithbothourinterestsandyours.

17. DISPUTERESOLUTION

7. Ifyouwanttomakeacomplaint,wewilladviseyouofourprocedures.

7.2 Ifwedonot resolveyourdisputeoryou are not satisfiedwith the outcome of

ourdispute handlingprocess,wewould be prepared to submit ourselvesto the

jurisdictionoftheOmbudspersonforBanks.

18. BUSINESSCONTINUITY

We will take all necessary measures to ensure the continuity of business operationsandtominimiserecoverytimeinthecaseofadisaster(naturalor

otherwise)orintheeventofanemergency.


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GLOSSARY

These definitions explain the meaning of words and terms used in the Code. They are not precise legal or

technical definitions.

ATM(AutomatedTellerMachine)

A cash machine or freestanding electronic banking device dispensing cashwhich may also provide other

informationorservicestoclientswhohaveacardandaPIN,passwordorothermeansofuniqueidentification.

Bankingandpaymentsystems

Thisreferstotheunderlyingclearing,moneytransmissionandcomputersystemsusedbybanks.

Cards

Ageneraltermforanyplasticcardusedtopayforgoodsandservicesand/ortowithdrawcash.

Cheque

Achequeisanunconditionalorderinwritingdrawnonabanktopay,ondemand,asumofmoneyasspecifiedin

wordsandfiguresbyadrawerwithhissignature.Achequeisvalidforoneyearasfromthedateofissue.

Directdebit

Itisaninstructioninwritingdulysignedbyacustomertoabanktopayasumofmoney,tobespecifiedbythe

beneficiary,asclaimedforaparticularserviceprovidedbythebeneficiarytothecustomer.

Equity

Justiceappliedincircumstancescoveredbylawyetinfluencedbyprinciplesofethicsandfairness.

MauritiusCreditInformationBureau(MCIB)

The MCIB collects, stores and provides credit information to lending institutions about customers credit

exposures.ItisadministeredbytheBankofMauritiusunderstrictconfidentiality.

Outofdatecheque

Achequewhichhasnotbeenpaidbecausethedatewrittenonthechequeistooold(normallyolderthan2monthsforlocalcheques).

Password

Awordoranaccesscodethatiseithersuppliedbyabankorchosenbycustomerstoallowthemtousephoneor

internetbankingservices.

PIN(PersonalIdentificationNumber)

Aconfidentialnumberwhichallowscustomerstomakepurchasesofgoodsandservices,withdrawcashanduse

otherservicesatacashmachine.CustomerswilloftenhavetoentertheirPINintoapointofsaleterminal,instead

ofsigningareceipt,toauthoriseatransaction.

POS(PointOfSale)

Apointofsale(POS)terminalisacomputerisedreplacementforacashregister.

Standingorder

AStandingorderisaninstructioninwritingdulysignedbyacustomertoabanktopayacertainsumofmoney

onspecificdate/stoanamedpartyduringaspecifiedperiod.

Unpaidcheque

Thisisachequewhich,afterbeingpaidintotheaccountofthepersonitiswrittenoutto,isreturnedunpaid

(bounced)bythebankwhosecustomerissuedthecheque.Thisleavesthepersonthechequewaswrittenoutto

withoutthemoneyinhisaccount.


19/19

3rd Floor, Plantation House

Duke of Edinburgh Street

Port Louis - Mauritius

Tel: (230) 210 9677 - 211 2980 - 213 0990

Fax: (230) 213 0968Email: [email protected]

Website: http://www.mba-limited.intnet.mu

mba code of banking practice booklet

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