CardX braces for regulatory change raising customer debt repayment 3%

CardX, a credit card service provider operating under SCB X Group, anticipates a potential issue with customer compliance linked to an upcoming regulatory change from the Bank of Thailand.

The central bank presently permits credit card users to repay their debt at a minimum rate of 5% of the overall credit balance each month, a measure introduced to aid consumers impacted by the economic fallout from the pandemic, reported Bangkok Post.

Sarut Ruttanaporn, the Chief Executive of CardX, shared that this rate is due to increase to 8% in 2024, before reverting to the standard rate of 10% the following year.

Of CardX’s two million credit cardholders, 8%, or 160,000 accounts, currently repay their debt at the 5% minimum rate.

Although the 2024 increase to 8% might seem minor, Sarut recognizes that some customers could struggle with this higher payment…