New regulation from BRSA on credit card minimum payments and mobile phone loans

The Banking Regulation and Supervision Agency (BRSA) has announced new decisions regarding credit cards and consumer loans used for mobile phone purchases. With the regulation, the limit applied to the minimum payment amount for credit cards has been increased, while price thresholds and maturities for mobile phone loans have been redefined.

According to the decision, the limit threshold applicable to the 20 percent minimum payment amount for credit cards has been raised from 50 thousand liras to 100 thousand liras. Accordingly, for credit cards with a limit of 100 thousand liras and below, the minimum payment amount will be applied as 20 percent of the periodic debt.

For credit cards with a limit above 100 thousand liras, the minimum payment amount will be 40 percent of the periodic debt.

Maturity limits for consumer loans used for mobile phone purchases have also been changed based on the device price. For new mobile phones, the loan maturity has been set at 12 months for devices priced at 40 thousand liras and below. For new phones priced above 40 thousand liras, the loan maturity has been limited to 3 months.

For refurbished mobile phones, the threshold will be applied as 50 thousand liras. Accordingly, a 12-month loan maturity can be used for refurbished phones priced at 50 thousand liras and below, and a 3-month maturity for devices above this amount.

The installment ban on new mobile phone purchases made with credit cards will continue. For the sale of refurbished mobile phones with credit cards, installments of up to 12 months can be made regardless of the amount.

In order to benefit from this installment opportunity, the sale must be carried out by a "renewal center" or "authorized dealer" operating within the scope of the regulation published in the Official Gazette.