In what is seen a move to prevent the so-called unethical business practices of some online/e-commerce-based organisations, Bangladesh’s central bank, the Bangladesh Bank (BB), has barred cash transactions between courier service providers and sellers of online platforms against delivery of products on cash-on-delivery (COD) terms through the courier service providers.
As per reports, the Bangladesh Bank in new guidelines issued in this direction recently, has made mandatory banking transactions in proceeds from the COD business even as courier services currently have been collecting cash against goods they deliver to the buyers and later give the collected money of the goods to the sellers or producers.
The central bank has maintained that financial transactions between the sellers and the courier service providers must take place through a formal financial channel even as for the execution of transactions through formal channels, maintenance of settlement accounts was made mandatory for all the courier service providers while the guidelines also elaborated on the COD process and how the money would be deposited to courier service providers’ settlement account and the same would be delivered to the MFS or bank accounts of the suppliers.
The Bangladesh Bank further maintained this type of transaction through banking channels will ensure transparency in the transaction while also help resolve many disputes between the courier services and the sellers.
