REGIME OF A PAYMENT CARD IN CAMEROON
A payment card in Cameroon is any card issued by a regulated institution such as a Bank, Financial Institution, Credit Institution that allows its holder to transfer funds.
The payment card results in an immediate debit from the holder's account. It may also result in a deferred debit or any other form of credit under an express provision of the contract between the issuer and the cardholder.
OBLIGATIONS OF THE ISSUER, THE CARDHOLDER, AND THE BENEFICIARY IN CAMEROON
The issuer of a payment card must have a contract signed by the person to whom it is issued and by the providers of goods and services who wish to accept it.
Under penalty of the sanction provided for in Article 250, paragraph 2 of the regulation, the issuer must, prior to issuing a payment card, ensure, pursuant to Article 228 of same regulation, that the applicant has not been subject to a card withdrawal order or a bank or judicial ban on issuing checks or using payment cards in Cameroon and CEMAC.
The issuer may, by duly justified decision, refuse to issue a payment card to a customer or request the return of a card previously issued by them. In the latter case, under penalty of the sanction provided for in Article 252 of the regulation, the issuer is required to report the card withdrawal to the file provided for in Article 212 of same law.
The issuer undertakes to honor the payment for purchases made by its customer with the card after verifying the validity of the payment order and the absence of any chargeback.
The issuer is required to inform any person to whom it issues a card of the card's terms of use and the penalties incurred in the event of misuse.
In the event of misuse of a payment card, the institution may, within four (4) business days of discovering such misuse, require the cardholder to return the card(s) issued by it and report this withdrawal decision to the file referred to in Article 214.
An order or commitment to pay made using a payment card is irrevocable.
Only objections are permitted in cases of loss, theft, fraudulent use of the card or data related to its use, or the commencement of insolvency proceedings or liquidation of assets against the payment recipient.
The cardholder authorizes an automatic debit from their bank account in execution of their payment order. The debit takes place immediately, unless otherwise stipulated in the contract providing for a later date.
In the event of loss or theft, the cardholder is liable for the loss incurred before reporting the loss or theft as provided for in Article 170, up to a limit set by the Monetary Authority.
However, the cardholder is not entitled to the limit stipulated in the preceding paragraph if they acted with gross negligence or if, after the loss or theft of the card, they did not report it to the cardholder within three clear days of becoming aware of the loss or theft.
The cardholder is not entitled to the limit stipulated in paragraph 1 above if the loss or theft of the card occurred after they received notification from the issuer of the withdrawal decision and the obligation to return the card immediately.
Similarly, subject to the application of Article 173, the cardholder does not benefit from the limit provided for in paragraph 1 above, in the event of fraudulent use of a payment card withdrawn but not returned, which occurred after receipt of the notification by the issuer of the withdrawal decision and the obligation to return it immediately.
The cardholder is not liable if a disputed transaction was fraudulently carried out remotely, without physical use of their card.
Similarly, they are not liable in the event of card counterfeiting if, at the time of the disputed transaction, they were in physical possession of their card.
In the cases provided for in Article 173, if the cardholder disputes in writing having made a payment or withdrawal, the disputed amounts will be credited back to their account by the card issuer or refunded free of charge within forty-five (45) calendar days of receipt of the dispute.
The dispute referred to in the preceding paragraph must be submitted no later than sixty (60) calendar days after the date of the disputed transaction.
In the event of fraudulent use of a payment card, the card issuer must reimburse the cardholder for all bank charges incurred.
The supplier of goods and services must inform customers that they accept card payments, specifying the card name.
Before each payment, they must verify that the transaction is legitimate and that the card has not been reported lost or stolen.
The recipient of the payment is liable to the issuer and must bear the full cost of the transaction if they have not carried out the checks described in the preceding paragraph.