KATHMANDU: Introducing the new monetary policy for the current financial year, Nepal Rastra Bank (NRB) has turned strict against the banks and financial institutions collecting undue amount in service charge for offering loan approval.
By enforcing various restrictions, the monetary policy made public on Friday has prevented the banks and financial institutions from charging the customers high in the name of service charge.
The new monetary policy provisions that no commercial banks can take more than 0.75% as service charge while working for loan approval. Similarly, the development banks can take the service charge up to 1% whereas the micro-financing institutions can take up to 1.5% as the service charge for loan approval of the customers.
Before this, there was no uniformity in the service charge the banks and financial institutions collected from the customers. The commercial banks have been taking 1.5% as service charge till date.
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