CBB says no interest can be charged on deferred loans

MANAMA: The Central Bank of Bahrain (CBB) has clarified that no extra interest/ profit or fees can be charged by lenders on the six month consumer loan deferral.

Sources told the GDN that the regulator issued fresh guidelines to banks, finance and microfinance companies today to clarify its order on Monday.

The CBB order directs lenders to grant citizens a six-month waiver on loans without fees, interest-on-interest (compound interest) or increase in the profit or interest rate.

Source: http://www.gdnonline.com/Details/787654