BDDK introduces new regulations for savings finance companies

The Banking Regulation and Supervision Agency (BDDK) has introduced new regulations for savings finance companies to improve liquidity and manage risk. Under the new rules, funds collected by these companies must be held in specific low-risk instruments, including Turkish lira-denominated accounts in participation banks, domestic lease certificates issued by the Ministry of Treasury and Finance, or participation-based investment funds with a risk value of 1 or 2.

To prevent excessive non-interest-bearing balances, the daily non-interest balance in savings fund pools cannot exceed 0.2% of the pool calculated at the end of the previous month.

The regulation also adjusts contract limits. The threshold for high-value contracts has been increased from 2,509,800 TL to 5 million TL. For housing or workplace financing, the limit has risen from 6,274,500 TL to 12.5 million TL. To prevent risk concentration, high-value contracts are capped at 5% of the total contract amount, with a gradual implementation phase for companies established after January 1, 2025.

Additionally, a single real or legal person is now limited to a maximum of two contracts with the same company: one for vehicle financing and one for housing or workplace financing. The maximum contract amount for vehicle financing is set at 6,250,000 TL, while the limit for housing or workplace financing is 62,500,000 TL. The total sum of all contracts for a single person or risk group cannot exceed 62,500,000 TL.