According to the circular, now it has been decided to substitute the paragraph (e) of Prudential Regulation M-2 with the following: "(e) Banks/DFIs shall not allow personal accounts to be used for business purposes except proprietorships, small businesses and professions where constituent documents are not available and the banks/DFIs are satisfied with KYC profile of the account holder, purpose of relationship and expected turnover of the account keeping in view financial status & nature of business of that customer."
No use of personal accounts for businesses: SBP tells banks, DFIs
- News Desk
- Jan 1st, 2010
- Comments Off on No use of personal accounts for businesses: SBP tells banks, DFIs
According to the circular, now it has been decided to substitute the paragraph (e) of Prudential Regulation M-2 with the following: "(e) Banks/DFIs shall not allow personal accounts to be used for business purposes except proprietorships, small businesses and professions where constituent documents are not available and the banks/DFIs are satisfied with KYC profile of the account holder, purpose of relationship and expected turnover of the account keeping in view financial status & nature of business of that customer."