1. Purpose
The purpose of this policy is to outline Qatar Islamic Bank's (QIB's) approach to managing overdue obligations in a fair, responsible, and Shari'a-compliant manner. It describes how QIB conducts debt collection activities while protecting customer rights, meeting Qatar Central Bank requirements, and maintaining the standards of ethical conduct and consumer financial protection, expected from a leading Islamic financial institution.
2. Scope
This policy applies to all debt-collection activities undertaken by QIB for its retail and corporate financing products. It also applies to authorised external collection agencies acting on behalf of the bank.
3. Principles
QIB applies the principles of fairness, transparency, respect, and professional conduct in its engagement with customers who fall behind on payments. All interactions are guided by Shari'a requirements, relevant QCB regulations, and the bank's internal rules. Customer information is handled confidentially in accordance with Law 13 of 2016 concerning personal data privacy. The bank follows responsible finance practices that aim to safeguard customer well-being and promote informed financial decision-making.
4. Regulatory compliance
QIB conducts debt collection activities in line with the regulatory framework governing financial institutions in Qatar. This includes instructions issued by Qatar Central Bank on ethical collection practices, QCB Consumer Protection Regulations, QCB circulars relating to communication standards and customer rights, and the requirements set by the bank's Shari'a Supervisory Board. QIB also follows Law 13 of 2016 concerning the protection of personal data and the provisions of the Civil and Commercial Code of Procedure that regulate the initiation of legal proceedings. These laws and regulations set the boundaries for customer communication, confidentiality, dispute handling, and escalation through legal channels.
5. Debt collection process
QIB engages with customers at an early stage when payment delays occur. The bank seeks to understand the customer's situation and, where appropriate, offers options that may help them regularize their payments in a manner consistent with Shari'a principles and QCB rules. Communication must be courteous and transparent, providing clear information about outstanding amounts, due dates, possible solutions, and the consequences of continued non-payment.
When customers face genuine financial difficulty, QIB considers repayment arrangements or restructuring solutions that comply with QCB instructions and Islamic finance principles. The bank may appoint external agencies to carry out certain activities. Such agencies are required to comply with QCB regulations, relevant Qatari laws, and the contractual obligations set by QIB, including the duty to protect customer information.
Legal action is undertaken only after all reasonable efforts to reach a mutually acceptable solution have been exhausted. Any legal proceedings follow the requirements of the Civil and Commercial Code of Procedure and related QCB guidance.
6. Responsibilities
The debt recovery function monitors overdue accounts and ensures that actions taken are consistent with this policy, Shari'a requirements, and the regulatory framework. The compliance function monitors adherence to laws and regulations and undertakes reviews of collection activities. External agencies engaged by QIB must meet regulatory and contractual obligations and report activities in a timely manner.
7. Customer support
Customers are encouraged to inform the bank promptly if they experience financial difficulty. QIB evaluates each case individually and provides clear information about available solutions. Our customers have the right to dispute any inaccuracies in their accounts. QIB investigates such matters promptly and resolves them in accordance with QCB Consumer Protection Regulations and applicable legal requirements.
8. Training and awareness
QIB ensures that all staff involved in debt collection activities have the knowledge required to apply this policy consistently and in line with regulatory and Shari'a requirements. The bank develops and implements training that covers regulatory obligations, Shari'a-compliant handling of overdue accounts, customer engagement standards, ethical conduct, and principles of consumer financial protection. This aligns with QCB regulations, the data privacy law, and the responsible finance standards reflected in this policy.
9. Monitoring and reporting
QIB monitors debt collection activities to ensure compliance with this policy and applicable regulations. Senior management receives updates on key matters, including compliance findings and opportunities to enhance fairness, transparency, and customer protection.
10. Review and updates
This policy is reviewed regularly to ensure continued alignment with regulatory requirements issued by Qatar Central Bank, applicable Qatari laws, and Shari'a guidance. Any updates are approved through the bank's governance procedures.
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