Logo of Phnom Penh Post newspaper Phnom Penh Post - NBC reiterates ID not to be used as collateral

NBC reiterates ID not to be used as collateral

NBC reiterates ID not to be used as collateral

The National Bank of Cambodia (NBC) has once again reminded all private lenders not to take ID cards or family books as collateral for loans, according to a statement released on Tuesday.

The NBC document reminds all institutions to follow a similar message issued by them in March 2016 banning the practice.

In the past, people living in rural areas have used the documents as collateral for small loans from private lenders. The NBC said it would take action against lenders who continue accepting the documents by putting sanctions on them or revoking their licences.

The message comes one day after a ruling party order calling for high level officials to help people get back any documents held so they could vote in the upcoming elections.

MOST VIEWED

  • Chinese influx pushing locals, Westerners out of Preah Sihanouk

    Some within the Kingdom’s tourism industry have speculated that the recent influx of Chinese visitors may hinder domestic tourism as the price of accommodations in the coastal city of Sihanoukville continues to rise. Preah Sihanouk province, which has become a hotbed for Chinese investment

  • ‘Dire consequences’ from sanctions, warns AmCham

    American businesspeople in Cambodia have warned that any sanction against the Kingdom would have “dire consequences” that could push Cambodia even further into the arms of China. In a letter to US senators and representatives dated Monday, the American Chamber of Commerce Cambodia (AmCham) said

  • CPP: ‘Behave or Sokha suffers’

    The ruling Cambodian People’s Party (CPP) spokesman warned Kem Monovithya on Thursday that her attempt to damage “national reputation and prestige” would lead to her father, Kem Sokha, receiving even harsher punishment. Sok Eysan issued the warning as Monovithya, who is the court dissolved

  • Preah Sihanouk beach developments halted

    After receiving an order from Hun Sen, Minister of Land Management Chea Sophara led a team of experts and relevant officials to Sihanoukville to call a halt to the illegal development of a beach. The prime minister ordered the Prek Treng beach in Otres commune