These recommendations are fairly wide ranging and encompass several issues in the areas of card issuance, card statements, interest and other chares on the cards, using the services of direct selling / marketing agents, redressal of customers’ grievances, reporting of default information of the card holder to the CIBIL, etc.
To achieve our task we have a range of tools (see Table 1). The most important tool in our kit is ensuring banks hold sufficient capital (equity) to be able to absorb unanticipated events. The level of capital reflects the bank owners’ commitment – or skin in the game - to ensure they can operate in all business conditions, bringing public confidence.