Baghdad: Rafidain Bank has confirmed that delays in salary payments do not lead to the deduction of two installments from loans or advances.

According to National Iraqi News Agency, the bank issued a statement addressing misinformation circulating on social media. Some posts claimed that delays in July salaries would cause government and private banks to deduct two installments from loans or advances simultaneously when salaries are eventually disbursed. Rafidain Bank clarified that this information is inaccurate.

The bank explained that the mechanism for deducting loan and advance installments at Rafidain Bank is based solely on the actual disbursement of salaries, rather than the interval between salary payments. Loans and advances are structured to follow a repayment schedule that aligns with monthly salary disbursements. Only one installment is deducted with each salary disbursement, and a delay in salary does not result in the deduction of two installments at once.

Rafidain Bank emphasized that even if there is a delay in disbursing a salary for a particular month, only one installment will be collected upon disbursement. This process is managed through an electronic mechanism linked to the salary disbursement process, ensuring that deductions are consistent and predictable.

The bank urged the public to verify information before sharing and to rely on official sources to prevent the spread of inaccuracies that could cause unwarranted concern among borrowers, including employees and retirees.