The Central Bank of Uzbekistan Fines TBC Bank, Davr Bank, and Hamkorbank for Violating Client Rights

Tashkent, Uzbekistan (UzDaily.com) — The Central Bank of the Republic of Uzbekistan is taking measures to protect the rights and legitimate interests of clients of credit institutions by identifying violations and demanding their correction, the regulator’s press service reported.

Inspections of banks’ consumer relations practices conducted this year revealed numerous violations at TBC Bank, Davr Bank, and Hamkorbank.

The identified violations include failure to meet minimum information requirements on official websites and in contracts, untimely registration of the bank’s rights over pledged property, issuance of online loans without proper disclosure to borrowers, and shortcomings in handling client complaints.

Davr Bank and Hamkorbank were also found to have errors in the calculation of loan interest, provision of additional services, and the collection of unlawful fees.

Considering the nature and scale of the violations, the Central Bank imposed fines of 615 million soums on TBC Bank, 931 million soums on Davr Bank, and 955 million soums on Hamkorbank.

The banks are required to correct the identified violations, compensate consumers, and restore their rights.

Excess payments made under the loan repayment schedules at TBC Bank were not applied toward settling outstanding debts in the prescribed manner. As a result, borrowers received recalculations in their favor, amounting to 2.5 billion soums in overcharged interest, as well as 1.7 billion soums in interest unlawfully accrued after judicial decisions were issued.

At Davr Bank, overcharged interest on loans issued in foreign currency totaling 1.7 billion soums, funds improperly withheld from loan amounts totaling 1.9 billion soums, and payments for imposing encumbrances on collateral property amounting to 461.6 million soums were returned to consumers.

Hamkorbank was instructed to ensure the return to consumers of 19.2 billion soums in payments unlawfully withheld during loan issuance, as well as 1.5 billion soums for imposing and lifting encumbrances on collateral property, and 54.9 million soums in fees charged to borrowers, despite such charges not being stipulated in the loan agreements.

Additionally, the Central Bank continues to receive complaints from financial service consumers. In 121 cases, issues have already been resolved in favor of clients, totaling 2.4 billion soums, including the cancellation of unlawfully charged interest and penalties, and the return of excessively collected funds and commissions.

The statement emphasizes that supervisory measures are aimed not only at eliminating violations but also at fostering a culture of customer service.

The Central Bank stresses that the effectiveness of financial institutions should be evaluated not only by revenue but also by the quality of client interactions, as transparent and reliable relationships with customers form the foundation of long-term trust and reputation.

The regulator announced its intention to continue strict oversight of client rights compliance and to regularly inform the public of inspection results through official channels.