CBG to publish modalities for payments to depositors

Consolidated Bank Ghana (CBG) will publish for the benefit of all depositors of defunct microfinance and savings and loans companies the full modalities for payment of cash and bonds on behalf of the Receiver.

The Managing Director of the Bank, Mr Daniel Wilson Addo, who said this in a release copied to the Daily Graphic, pledged the bank’s commitment to play its role professionally in its usual customer-centric approach to business in resolving all outstanding issues regarding payments.

He added that “the bank has established a mechanism for those depositors who wish to obtain cash ahead of the liquidation schedule to discount those expected cash flows with the bank at a very competitive rate.”

CBG explains modalities

It said the bank was positioned to clarify how customers of the collapsed financial institutions could access their cash and bonds, following government’s decision to pay the affected customers.

“At the direction of the Receiver of the defunct MFI & S&Ls, the release said the bank has almost concluded paying affected customers of the defunct institutions the cash component of their validated investments. For customers whose deposits exceed the cash payment threshold as advised by the Receiver, a special account has been opened to hold the balance payable,” it added.

According to the CBG, funds in excess of the cut-off for cash payment would be held in special holding accounts opened for the depositors and paid in equal instalments every six months over a five-year period after the initial payment is made in March 2021.

It will be recalled that the government has provided a combination of cash and bonds totalling GH¢5 billion to pay depositors of the collapsed financial institutions.

The CBG managing director concluded by reminding everyone of the need to observe the various safety protocols to contain the COVID-19 virus.