Bank explains policy on card replacement, fees charged

BANK South Pacific Financial Group Limited (BSP) has clarified its Kundu Card charges after seeing numerous illegitimate card replacement within a calendar year.
Retail bank general manager Daniel Faunt said the bank had decided to now charge its customers K50 for second card replacement within a year and K100 for a third card issued in the same period.
“BSP does not charge a fee for initial Kundu cards,” he said.
“BSP does charge K20 for the first replacement card that is sought by a customer in the calendar year. Other banks have similar fees.
“In line with BSP terms and conditions, customers are required to safeguard their card, not give it to third parties or divulge their pin numbers. Unfortunately, BSP has noted that a number of customers have been in breach of these terms and conditions in particular, by giving their cards and pin numbers to third parties, including loan sharks. Any breach of conditions is subject to account closure at BSP’s discretion.”
He added that to prevent these activities, where BSP deemed that a customer did not have a legitimate reason for a new card, BSP would not issue any further cards beyond this third occasion.
BSP customers with genuine reasons for card replacement will be serviced accordingly based on their individual circumstances.
Faunt said the bank strongly encouraged its customers to safeguard their card and their pin and not divulge it to any third parties particularly to loan sharks.
He said any breach of terms and conditions would be dealt with accordingly by the bank.
Meanwhile, this concern was raised by frustrated customers at one of the branches in Port Moresby after seeing a flyer within the BSP office with notice by the bank advising customers of the charges for card replacement.