The need to deliver a copy of the contract to the borrowers

According to the public relations of the Central Bank, in fulfillment of the legal obligation stipulated in the following note of Article (23) of the “Law on Continuous Improvement of Business Environment” approved by the Islamic Consultative Assembly on 11/16/2011, uniform forms of bank facility contracts are prepared by the Central Bank. After their approval by the Monetary and Credit Council, the country’s banking network was notified through several circulars.

In the mentioned circulars, it was emphasized that banks and non-bank credit institutions are obliged to take the necessary measures with the aim of fully informing the “lender”, “guarantor” and “guarantor” of the bank facilities of the provisions of the contract. Provide a copy of it that has the same legal value as the other copies, as the case may be.

In continuation, and due to the great importance of the subject and the numerous reports received that a copy of the bank facilities contracts have not been granted to the borrower, guarantor and guarantor, emphasis circulars in this regard, including Circulars No. 95.313238. Dated 1395/10/05, No. 290003 .96 Dated 1396.09.13 and No. 99.2988326 Dated 09.19.1399 were also notified to the country’s banking network.

Due to the lack of attention of some banks and non-bank credit institutions to this important issue, despite the numerous emphases and circulars of this bank in relation to the above-mentioned issue; In order to ensure the correct and complete implementation of the above-mentioned tasks and related directives and to address the existing concerns in this regard, in addition to closely monitoring the implementation of previous arrangements, the implementation of the following items and arrangements shall be urgently on the agenda of that bank or credit institution. Be placed:

1. Within a maximum of seven working days after the request of the borrower, guarantor or guarantor, a copy of the contract concluded with the grant facility which has the same legal value as the other copies, together with the complete information of the mentioned facility, including the installment table, to Deliver the applicant.

2. The supervisory and inspection units of that bank or non-bank credit institution shall deal with the complaints raised in connection with the above issue out of turn, and in case of refusal of the relevant employees and managers to perform the said duties, in addition to immediate referral of the case. Violators to the competent authority to investigate violations, as well as the Central Bank of the Islamic Republic of Iran, directly to provide the necessary action or arrangements for the delivery of the cases mentioned in the paragraph mentioned to the applicant.

In the end, while reiterating that the responsibility for non-compliance with the above duties lies with the CEO and members of the board of directors of banks and non-bank credit institutions, in terms of the provisions of Circular No. 149153. Acceleration should be notified to all relevant branches and units of that bank or credit institution and its proper implementation should be closely monitored.