Commercial banks increase interest, tenure on existing loans

Commercial banks increase interest, tenure on existing loans

*As usual, it’s the poor people suffering

Dear editor,

See what Bank of Zambia governor Denny kalyalya has done to us.

People who had remained with one month to clear their loans from banks have been pushed to a year.

This is because the Bank of Zambia raised its key interest rate for the first time since November 2015. BOZ raised the Rate to 10.25 percentage from 9.75 percent.

In response, commercial banks immediately punished Zambians with loans by extending the tenure of the loans, meaning that, if you were supposed to finish paying the loan next month, you won’t. Your bank has added another 12 moths.

‘I received this from standard chartered bank, please make me understand what it means,’ one person told ZWD

‘Dear Customer, your Interest Rate has changed Remaining Tenor 62, New Interest Rate 26.75, with effect from 23-MAY-19, Ts.’

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