KUALA LUMPUR: The Association of Banks in Malaysia (ABM) has urged member banks to adhere to the standards set by the regulator in relation to the recovery of properties in default to ensure that it is made in responsible manner.
In a statement yesterday, ABM said, the banks must engage with borrowers early for alternative repayment arrangements.
“It is a requirement for banks to have in place proper processes, including sufficient notices before action is taken against defaulted borrowers.
“In particular, banks are required to comply with standards, including contacting their customers promptly and proceed to engage in early discussions towards alternative repayment measures to address financial difficulties,” it said. — Bernama