AZE.US
As Azerbaijan approaches a long holiday period, many borrowers are asking whether banks can mark their credit payments as overdue if the due date falls on a non-working day.
According to local experts, banks are expected to remain closed for up to 11 days during the holiday period, which has raised concerns among customers about potential delays in loan repayments.
Specialists say borrowers are not required to make their payments earlier than scheduled simply because of the holidays. Payments should be made on the date indicated in the repayment schedule.
For example, if a payment is due on March 22, borrowers can still complete the transaction on that day even if it is a public holiday. Most banks allow payments through mobile banking apps, online services, or payment terminals, which continue to operate during non-working days.
Under Azerbaijan’s Civil Code, if a payment deadline falls on a non-working day, the obligation is effectively shifted to the first working day after the holiday period, meaning borrowers should not automatically face penalties.
Experts also note that even when bank branches are closed, electronic payments are recorded in the banking system according to the date the payment was made.
For instance, if a borrower pays on March 22, but the system updates only on March 31, it should still be considered an on-time payment.
However, if a borrower delays payment until March 31 or later, when the due date was March 22, banks may then apply late fees or penalties.
Financial specialists add that if a borrower pays on time but the bank’s system still shows a delay after the holidays, this could constitute a violation, and the customer has the right to file a complaint.