UOB Thailand plans to cancel its payment apportionment system for credit cards by the end of this month to comply with the Bank of Thailand's directive.
The central bank directed UOB Thailand to resolve issues with its credit card system that occurred following the transition from the former Citibank Thailand system to UOB Thailand, according to Suwannee Jatsadasak, assistant governor for the supervision group at the Bank of Thailand.
The problems with UOB Thailand's credit card system include issues with payment apportionment, its contact centre, and UOB TMRW, its mobile banking app.
Ms Suwannee said UOB Thailand reported it would cancel the payment apportionment system this month, allowing clients to set their bill payment periods individually.
UOB Thailand would also waive interest charges under the new payment arrangement, she said.
Under the current apportionment system, if a cardholder has more than one credit card and repays the full amount on one card when due, the payment is automatically apportioned across all cards. This system forces customers into making minimum payments, resulting in interest charges.
According to Ms Suwannee, there have also been numerous complaints regarding the bank's contact channels, especially the call centre and mobile banking app. Many customers find it difficult to reach the bank's call centre, and the mobile banking app application process is cumbersome, despite the bank requiring bill payments through this channel.
UOB Thailand has been regularly updating the central bank on its progress in addressing these issues. The bank has increased its call centre staff numbers to provide better information, advice, and solutions to customers. Furthermore, the bank plans to inform customers about the implemented solutions as the next step.
Starting from June 24, UOB Thailand will allow credit cardholders with multiple cards to choose to pay each card's bill separately. The one-by-one card payment system will be displayed via a QR code or barcode on the invoice letter and the mobile banking app.