BoG declares war on hidden banking fees, unfair lending — Governor
By Praisebell Rosemond Larbi
The Governor of the Bank of Ghana, Dr. Johnson Asiama, says the central bank is rolling out stricter directives to curb hidden bank charges, tighten rules on interest rate applications, and address lapses in digital lending and governance practices within the banking sector.
Speaking in Accra, Dr. Asiama stated that the Bank of Ghana is particularly concerned about non-transparent practices that continue to undermine consumer protection and financial stability.
According to him, some banks are applying interest on dormant credit accounts — a situation that often results in accrued interest surpassing the original principal amount.
“Some banks continue to apply interest charges on credit accounts that remain inactive. This often leads to cases where the accrued interest ends up being more than the original principal,” he noted.
Dr. Asiama said the Bank of Ghana is finalizing a new set of directives to address such practices, promote fair banking, and enhance transparency across the industry. These measures, he said, will also focus on regulating digital lending platforms, some of which operate without sufficient consumer safeguards.
He emphasized that the central bank remains committed to protecting customers and restoring confidence in the financial system.
“We are clamping down on unsafe lending practices and hidden fees. Transparency and good governance must be the standard,” the Governor added. The move comes amid growing public concern over unexplained charges and unethical lending behavior in Ghana’s banking system. The Bank of Ghana says it will not hesitate to impose sanctions on financial institutions that fail to comply with the new rules once they are implemented.
