Remarks:
² Where the income check reveals that the borrower’s income has fallen such that he no longer qualifies for the credit limit granted to him, the FI is required to reduce the credit limit granted such that the revised credit limit is within the regulatory limit of not more than (i) 4 months’ income for a borrower with an annual income of at least S$30,000 but less than S$120,000; and (ii) 2 months’ income for a borrower with an annual income of less than S$30,000. In addition, the FI should not extend further credit until the borrower’s total outstanding unsecured amount falls below the regulatory credit limit.
