Kasikornbank strengthened its risk management for retail finance in response to the central bank's warning about higher household debt.

Executive vice-president Wirawat Panthawangkun said the bank has improved safeguards in some areas to cope with a higher consumer loan portfolio.

The risk management practices include more frequent credit line reviews for risky customers, encouraging clients to pay their debt before the due date, and increasing the number of debt collectors.

He said when the bank detected signs, such as late payments and requests for higher credit lines, it will take action on a case-by-case basis. For example, the bank expects to revise or reduce credit lines frequently.

To encourage customers to pay their debt on time, rewards will be given such as reward points for credit card holders. This practice helps reduce the bank's burden in debt collection, he said.

KBank plans to add 50 more debt collectors this year to its existing team of 300, in line with the greater loan portfolio.

It targets retail loan growth of 10-13% this year. Personal loans are expected to show the highest growth rate _ 15-18% _ due to the small base, with credit cards gaining 10-14% and mortgage loans 5-6%.

Mr Wirawat added the bank kept its minimum income requirement for retail loan applications at 10,000 baht per month for personal loans and 15,000 baht for credit cards.

Shares of KBANK closed on the Stock Exchange of Thailand at 208 baht yesterday, down one baht, in trade worth 1.05 billion baht.