You won’t get new loans if you don’t pay existing ones – BoG to consumers

The Bank of Ghana is advising consumers of mobile money loans to repay their loans and maintain a good credit history.

According to the Central Bank, failure to repay loans will have a negative effect on their credit report and also adversely affect their chances of obtaining loan facilities from financial institutions and credit providers in future.

In a financial literacy on mobile money loan defaulters, it said credit history of all mobile money loan customers is kept in the credit reporting system managed by credit bureaus licensed by BoG.

Under the Credit Reporting Act, 2007 (Act 726), the data is shared with other lenders to enable them to know the credit behaviour of borrowers, to help with appraisal of loan applications, it said.

“Repay your mobile money loans promptly to maintain a good credit history to help you access more loans in future. Your credit history shows how you managed the repayment of your past loans including the timeliness of the payment”.

“Failure to repay your loans will have a negative effect on your credit report and also adversely affect your chances of obtaining loan facilities from financial institutions and credit providers in future”, it added.

Source: Myjoyonline