The Central Bank of Egypt (CBE) has implemented new controls for banks regarding the ongoing updating of client data, information, and documents during due diligence procedures. These measures are aimed at enhancing the security of client data and safeguarding their rights.
Key points of the new procedures and controls include:
Maximum Update Period: Banks are required to update client data within a specified maximum period.
Notification: Customers must be informed both before and after the update occurs. At least two communication channels should be used for this purpose, including SMS (in Arabic and English), push notifications, ATMs, emails, and pre-recorded phone calls.
Multiple Notifications: Clients will receive three notifications over three consecutive months if they fail to update their data. These notifications will outline the actions that will be taken.
Transaction Continuity: Banks cannot halt disbursements, check collections, cash deposits, incoming transfers, cash withdrawals, electronic purchases via direct debit cards, existing standing instructions, or credit facility payments due to outdated data.
No Charges for Delays: Customers will not incur any expenses or fees due to delayed data updates.
Branch Transactions: Data updates must be completed before customers can conduct transactions at a bank branch.
Avoiding Fraudulent Links: Banks are prohibited from sending links to customers for data updates or notifications to prevent fraudulent operations.
Technical Solutions Approval: Banks must seek CBE’s approval before implementing technical solutions for electronic data updates.
Home Visits: Banks can conduct home visits to update data for people with disabilities and the elderly.
Incentive Programmes: Banks may develop incentive programmes to encourage timely data updates.
