Section 37: Disclosure of information

37. Disclosure of information (1) The central bank may, by notice, require all financial institutions or all members of any class of financial institutions, to publish— (a) within the time specified in the notice, a disclosure statement; and (b) within 45 days after the end of each calendar quarter, a quarterly report, duly signed by its directors. (2) The substance of the disclosure statement or quarterly report under subsection (1) shall be specified by the central bank. (3) A financial institution shall not be required to publish information relating to the individual affairs of any particular customer or client of the financial institution. (4) Subject to any guidelines or instructions issued by the central bank, where a bank issues a credit or charge card to a person, it shall disclose to him— (a) his rights and obligations in respect of— (i) the credit limit authorised under the card and the amount of indebtedness outstanding at any time; (ii) the period of time for which each statement is issued; (iii) any charges and interest costs for which the person becomes responsible for accepting and using the card; (iv) the minimum amount in respect of the balance outstanding that has to be paid at the end of each statement period; and (v) the maximum amount of the cardholder’s liability for unauthorised use of the card where it is lost or stolen; (b) the cost of borrowing in respect of any loan obtained through the use of the card, the exchange rate applied and the manner in which it is calculated, and in the event the required instalment is not paid on the due date, particulars of the charges and penalties to be paid by the cardholder; and (c) the amount of any charge or fee for which the cardholder is responsible for accepting or using the card and the manner in which the charge is calculated. (5) Where a bank intends to change any of the matters referred to in subsection (4), the bank shall give the cardholder a written notice of the change at least 30 days prior to the effective date of the change. B3 – 31 [Issue 9] Banking Act (6) Where a financial institution extends credit to a person, it shall— (a) disclose to him— (i) the interest charged and the manner in which it is to be calculated; (ii) any applicable fee or other charge and the manner it is to be calculated; and (iii) every term or condition applicable to the credit, clearly identifying the obligations of the borrower; and (b) during the period of the credit agreement, send or make available to him, a statement of account in written or electronic form, not later than the end of the month following each period of 6 months, showing— (i) the amounts outstanding, as principal and interest, at the beginning and at the end of the 6-month period; (ii) the payments received, as principal and interest, during the 6-month period; and (iii) the annual rate of interest applicable during the 6-month period. (7) (a) The central bank may require every financial institution to send or make available to the guarantor of a credit facility extended by it, a statement of account in written or electronic form, in accordance with guidelines or instructions issued by the central bank. (b) The guidelines or instructions referred to in paragraph (a) shall contain— (i) the classes or categories of credit facilities for which the statement shall be sent or made available; (ii) the circumstances under which the statement shall be sent or made available; and (iii) such other information as the central to the guarantor of a credit facility extended by it, a statement of account in written or electronic form, in accordance with guidelines or instructions issued by the central bank. (b) The guidelines or instructions referred to in paragraph (a) shall contain— (i) the classes or categories of credit facilities for which the statement shall be sent or made available; (ii) the circumstances under which the statement shall be sent or made available; and (iii) such other information as the central bank considers appropriate and necessary. (8) In subsection (6)— “credit” includes any facility granted under a finance lease. [S. 37 amended by s. 2 (m) of Act 18 of 2008 w.e.f. 19 July 2008; s. 4 (b) of Act 38 of 2011 w.e.f. 15 December 2011; s. 3 (a) of Act 27 of 2012 w.e.f. 22 December 2012; s. 3 (j) of Act 27 of 2013 w.e.f. 21 December 2013.]