A banking intermediary in Cameroon as an authorized legal entity, may be temporarily entrusted with funds by a client for remittance to the principal institution, or by a principal institution for remittance to the client.
The maximum amount of funds held by the legal entity intermediary, as well as the maximum duration of this holding, are stipulated in the agency agreement.
This amount may not exceed one million (1,000,000) FCFA per client per month. The intermediary may not hold these funds for more than forty-eight (48) business hours.
A legal entity banking intermediary may not hold more than twenty million (20,000,000) FCFA on behalf of the clients of the same credit institution.
It is prohibited for individual intermediaries in banking operations to hold funds entrusted to them by the client or the principal institution in the course of their business.
Any credit institution that appoints an intermediary in banking operations must have a procedure, approved by its board of directors, relating, in particular, to the conditions and methods of using intermediaries, the supervision of intermediaries, the limits of activities with intermediaries, and the internal control mechanism for this activity.
The mandate given to the intermediary in banking operations, including its stipulations relating to the intermediary's remuneration, is approved by the board of directors of the appointing institution.
The intermediary in banking operations may enter into new mandates with other credit institutions. Any new mandate agreement, including any substantial modification to an existing mandate, must be notified to COBAC within fifteen (15) days of its execution.
COBAC may object to, or order the suspension or termination of, the mandate of an intermediary in banking operations when it does not comply with the provisions of this regulation.
The intermediary in banking operations must inform the Monetary Authority and its principals of any new mandate it holds within fifteen (15) days of its execution.
The intermediary in banking operations must comply with the provisions of Regulation No. 01/20/CEMAC/UMAC/COBAC concerning the protection of consumers of banking products and services in the CEMAC region, in its dealings with clients.