Banks' Assn. to launch credit counselling

Filling a vital gap in debt management services, the Sri Lanka Banks' Association will launch a social initiative in the form of a Credit Counselling Centre commencing January 19.

Aptly titled Upadeshana, the centre will be at the Central Bank's Centre for Banking Studies in Rajagiriya with services extended at locations in provincial towns.

Borrowers who are facing difficulty with their payments will have a team of specially trained advisors with skill, understanding and knowledge in banking and finance to help them manage their funds and repayments and get back on track.

Their services will be made available free.

"The need for Credit Counselling is being strongly felt in this country and financial management is relevant to individuals who borrow and institutions that lend" said the Secretary General of the SLBA Upali de Silva. The service will be a boon for small and medium scale entrepreneurs as well as individuals who have obtained personal loans or credit card facilities without much thought of the practical aspects of paying back.

The Upadeshana Centre will help defaulters to review their financial situation and come up with a viable solution to meet their obligations.

What they will not do however is to get loans negated or waived. Nor will the Counselling Service make recommendations of various credit schemes on offer.

The service is primarily to get the borrower to re-look at his or her resources and re-channel them in a way that would get the payments and business back on track.

"The service comes at a time where there is global concern about credit and financial stability" said Ms. Siromi Wickramasinghe who will head the Upadeshana Centre.