Please
refer to BPRD Circular No.9 dated April 27, 2000 on the captioned
subject.
It
has been decided with immediate effect to incorporate a new
sub-para (III) in para 1 of the above regulation as under:
(III)
CREDIT CARD ADVANCES:
CLASSIFICATION
|
DETERMINANT
|
TREATMENT
OF INCOME |
PROVISIONS
TO
BE MADE |
(1)
|
(2)
|
(3)
|
(4)
|
1.
Doubtful. |
Where
mark-up/ interest or principal is overdue (past due)
by 90 days from the due date.
|
Unrealized
mark-up/ interest to be put in Suspense Account and
not to be credited to Income Account except when realized
in cash.
|
Provision
of 50% of the difference resulting from the outstanding
balance of principal less the amount of liquid assets
realizable without recourse to a Court of Law.
|
2.
Loss. |
Where
mark-up/ interest or principal is overdue by 180 days
or more from the due date.
|
As
above. |
Provision
of 100% of the difference resulting from the outstanding
balance of principal less the amount of liquid assets
realizable without recourse to a Court of Law.
|
All
other instructions shall, however, remain unchanged.
Please
acknowledge receipt.
|