HLB General Terms & Conditions Updates Oct 2025

2.3.1

Change of Particulars

It is important for the Customer to ensure that the Customer particulars such as address, contact numbers, and authorized signatories given to HLB/HLISB (“Customer Particulars”) are accurate and kept updated at all times. This is to enable the Bank to deliver communications regarding the operation of the account and any marketing related activities.

Change of Particulars

It is important for HLB/HLISB to be able to deliver communications to the Customer regarding the operation of the Account and any marketing related activities. The Customer agrees to promptly notify HLB/HLISB of any changes to the Customer particulars such as and as applicable, name, address, e-mail address, contact numbers, employment details, status (whether due to events such as death,  insolvency, bankruptcy, incapacity or otherwise) or constitution (in the case of a non-individual Customer (for example, a change from a partnership to a sole proprietorship, resignation of partners/directors or change of ownership) and/or authorised signatories (“Customer Particulars”). 

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Changes in Instructions/Customer/Disputes

4.1 HLB/HLISB may close any Account in accordance with Clause 16 herein or suspend the operation of any Account in the event of any one or more of the following:

(a) HLB/HLISB in good faith doubts the authority or authenticity of any instruction purported to

be given by the Customer including changes or revocation of instructions given by the Customer; OR

(b) where there are changes in the constitution of the Customer whether due to events death, resignation, insolvency, incapacity or otherwise; OR

(c) where in the sole opinion of HLB/HLISB, there is evidence of a dispute in relation to any

Accounts; OR

(d) HLB/HLISB believes or suspects that the Account is used for money laundering, financing of terrorism or other fraudulent or illegal schemes or activities or is in breach of any guidelines or rules issued by BNM or any other authority.

4.2 In the event Clause 4.1(c) occurs and HLB/HLISB has suspended the operation of one or all of the Customer’s Accounts, no further operation of the Account shall be allowed until HLB/HLISB receives written instructions from all accountholders/partners/Directors in respect of individual/partnership/company accounts or in any event, from a party who in the sole opinion of HLB/HLISB has the lawful authority to give Instructions on the Account.

Clause “Changes in Instructions/Customer/Disputes” has been moved to Clause 16 with amendments

12.1

Right of Set-Off and Consolidation

Without prejudice to any other remedies which HLB/HLISB may have, HLB/HLISB is entitled to by giving seven (7) days’ prior notice, combine and consolidate any or all of the Customer’s

Account(s) in HLB/HLISB of whatsoever nature (whether current, deposit, loan, several or joint named account) against the Customer’s liabilities with HLB/HLISB and set off and transfer any sum standing to the credit of any such Account in or towards the satisfaction of any of the Customer’s liabilities to HLB/HLISB under any of the Account, agreements or contracts, whether

such liabilities are primary, collateral, joint or several or in any other currencies.

Changed to Clause 11.1

Right of Set-Off and Consolidation

Without prejudice to any other remedies which HLB/HLISB may have, HLB/HLISB is entitled to by giving seven (7) days’ prior notice and reason, combine and consolidate any or all of the Customer’s Account(s) in HLB/HLISB of whatsoever nature (whether current, deposit, loan, several or joint named account) against the Customer’s liabilities with HLB/HLISB and set off and transfer any sum standing to the credit of any such Account in or towards the satisfaction of any of the Customer’s liabilities to HLB/HLISB  under any of the Account, agreements or contracts, whether such liabilities are primary, collateral, joint or several or in any other currencies.

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Not Available

15. Right to Earmark/Withhold Sums or Debit Account

15.1 HLB/HLISB is entitled to at any time earmark/withhold or debit the Customer’s Account for any sum that was credited into the Customer’s Account:

15.1.1 if there is suspicion that the instrument used, the instruction given or the transaction itself has been tampered with, or is erroneous, wrongful, mistaken, unauthorized and/or fraudulent in nature, whether or not the Customer is involved; or

15.1.2 if required by any laws, rules, regulations or directives of any regulatory authorities; or

15.1.3 if HLB/HLISB receives a court order to that effect; or

15.1.4 if upon HLB/HLISB’s investigation, it is justified that the Customer is not the intended beneficiary of the funds; or

15.1.5 in exercise of HLB/HLISB’s rights pursuant to Clause 11.1.

15.2 In the event HLB/HLISB debits the Customer’s Account pursuant to Clause 15.1 above, HLB/HLISB will give at seven (7) days’ prior written notice to the Customer prior to such debiting.

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16. Closure of Account(s)

16.1 HLB/HLISB may close any or all of the Account by giving written notice to the Customer without having to give any reason for doing so. HLB/HLISB’s entire liability shall be discharged upon delivering or mailing to the Customer at the last address informed to HLB/HLISB the proceeds, if any, standing in the credit of the Account in the form of a banker’s cheque or any other remittances.

16.2 Upon the closure of the Account either by the Customer or by HLB/HLISB, all unused cheques issued shall become the property of HLB/HLISB and the Customer shall immediately return them to HLB/HLISB.

16.3 Without prejudice to Clause 16.1 above, HLB/HLISB may close any Account in accordance with BNM’s guidelines in relation to dishonored cheques, bankruptcy, winding-up or dissolution.

16.4 In the event the monies including any interest/profit accrued to the credit of the Account is remitted to the Registrar of Unclaimed Moneys pursuant to the UMA and any statutory amendments thereof, then the relevant Account shall be closed.

16.5 HLB/HLISB reserves the right to impose a service charge in the event the Account is closed within six (6) months of opening of account or such other period as may be determined by HLB/HLISB with twenty-one (21) days’ prior notice.

16. Suspension/Freezing and Closure of Account

16.1 Suspension of Account

16.1.1 HLB/HLISB may at its discretion suspend/freeze the operation of any or all of the Account by giving written notice to the Customer for any reason including but not limited to the following:

(a) HLB/HLISB in good faith doubts the authority or authenticity of any instruction purported to be given by the Customer including changes or revocation of instructions given by the Customer;

(b) where there are changes in the status or constitution of the Customer whether due to events such as death, resignation, insolvency, bankruptcy, mental incapacity or otherwise;

(c) where in the sole opinion of HLB/HLISB, there is evidence of a dispute in relation to any Account;

(d) HLB/HLISB believes or suspects that the Account is used for money laundering, financing of terrorism or other fraudulent or illegal schemes;

(e) The Customer has misrepresented the Customer’s identity and/or provided false, incorrect or misleading information or documents relating to the Account;

(f) the Customer has failed to promptly notify HLB/HLISB of any change in the Customer’s Particulars in accordance with Clause 2.3 or failed to update the Customer’s Particulars when requested;

(g) the Customer has failed to perform such acts and/or provide such information and/or documents reasonably requested by HLB/HLISB for tax, legal and/or regulatory compliance within such time as notified by HLB/HLISB;

(h) there is any order, directive, instruction or sanction issued by any court or regulatory authority restricting or prohibiting the Account to be operated;

(i) a police report is lodged against the Customer or in relation to the Account;

(j) an investigation is being conducted by the authorities or by HLB/HLISB against the Customer or in relation to the Account;

(k) any facility granted to the Customer through the Account is suspended, recalled or terminated for any reason;

(l) any debt is owed by the Customer to HLB/HLISB whether as a borrower, security party or guarantor;

(m) the Customer abuses HLB/HLISB’s electronic or internet banking services or IT system; and/or

(n) the Customer breaches any of these Terms and Conditions.

16.2 Closure of Account

16.2.1 HLB/HLISB may at its discretion close any or all of the Account by giving written notice to the Customer. HLB/HLISB’s entire liability shall be discharged upon delivering or mailing to the Customer at the last address informed to HLB/HLISB the proceeds, if any, standing in the credit of the Account in the form of a banker’s cheque or any other remittances.

16.2.2 Upon the closure of the Account either by the Customer or by HLB/HLISB, all unused cheques issued shall become the property of HLB/HLISB and the Customer shall immediately return them to HLB/HLISB.

16.2.3 Without prejudice to Clause 16.2.1 above, HLB/HLISB may close any Account in accordance with BNM’s guidelines in relation to dishonoured cheques, bankruptcy, winding-up or dissolution.

16.2.4 In the event the monies including any interest/profit accrued to the credit of the Account is remitted to the Registrar of Unclaimed Moneys pursuant to the UMA and any statutory amendments thereof, then the relevant Account shall be closed.

16.3 The Customer acknowledges that there will be instances where HLB/HLISB is not at liberty to disclose its reasons for exercising its discretion to suspend/freeze or close the Account.

16.4 HLB/HLISB reserves the right to impose a service charge in the event the Account is closed within six (6) months of opening of account or such other period as may be determined by HLB/HLISB with twenty-one (21) days’ prior notice.

17.1

17. Costs, Expenses, Tax and Other Charges

17.1 Subject to Clause 12, HLB/HLISB shall be entitled to impose and deduct from or debit the Account the following:

(a)    service fees and other miscellaneous charges, including the usual bank charges, commissions, and stamp duty, on all transactions and services provided at such rates as may be notified from time to time;

(b)    legal fees (on a solicitor and own client basis) incurred for the recovery of the monies owing to HLB/HLISB and in the case of non-HLISB Account, the Customer shall pay 9 interest/charge on such debited amount at the Default Rate or the Excess Rate where there is no Default Rate (both before as well as after demand, judgment or order) at such rest period as may be stipulated by HLB/HLISB from the date of such sums having been paid or expended or owing until date of settlement; and

(c)     wherever applicable, service charges on the Account and any interest/profit on credit balances will be calculated according to the rules of ABM/AIBIM or HLB/HLISB.

17. Costs, Expenses, Tax and Other Charges

17.1 Subject to Clause 11, HLB/HLISB shall be entitled to impose and deduct from or debit the Account the following:

(a) service fees and other miscellaneous charges, including the usual bank charges, commissions, and stamp duty, on all transactions and services provided at such rates as may be notified from time to time;

(b) legal fees (on a solicitor and own client basis) incurred for the recovery of the monies owing to HLB/HLISB and in the case of non-HLISB Account, the Customer shall pay interest/charge on such debited amount at the Default Rate or the Excess Rate where there is no Default Rate (both before as well as after demand, judgment or order) at such rest period as may be stipulated by HLB/HLISB from the date of such sums having been paid or expended or owing until date of settlement; and

(c) wherever applicable, service charges on the Account and any interest/profit on credit balances will be calculated according to the rules of ABM/AIBIM or HLB/HLISB.

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22. Force Majeure

Notwithstanding any other provisions herein, in the event HLB/HLISB is unable to perform any operations or to provide any services due to any reason beyond HLB/HLISB’s control, including but NOT limited to fire, earthquake, flood, epidemic, pandemic, natural catastrophe, accident, riots, civil disturbances, industrial dispute, act of public enemy, embargo, war, act of God or any factor in a nature of a force majeure or any failure or disruption to telecommunication, electricity, water, and fuel supply, HLB/HLISB shall NOT in any way be liable for any inconvenience, loss, injury, and damages suffered or incurred by the Customer arising from the same

22. Events beyond HLB/HLISB’s Control

Notwithstanding any other provisions herein, in the event HLB/HLISB is unable to perform any operations or to provide any services due to any reason beyond HLB/HLISB’s control, including but NOT limited to fire, earthquake, flood, epidemic, pandemic, natural catastrophe, accident, riots, civil disturbances, industrial dispute, act of public enemy, embargo, war, act of God or any circumstance beyond HLB/HLISB’s control or any failure or disruption to telecommunication, electricity, water, and fuel supply, HLB/HLISB shall NOT in any way be liable for any inconvenience, loss, injury, and damages suffered or incurred by the Customer arising from the same.

Part C - 9

HLB will only stop payment on any cheque issued upon receipt of instructions from the Customer whether in writing or through any other services made available by HLB and HLB shall NOT be responsible for any loss or damages caused by an oversight from the Customer. HLB is authorized to honor and comply with all cheques, drafts, orders to pay, bills of exchange and promissory notes expressed to be drawn, signed, accepted, endorsed or made on the Customer’s behalf whether the current account is in credit or in debit or may become overdrawn in consequence or otherwise but without prejudice to HLB’s right to refuse or allow any overdraft or increase of overdraft limit beyond any specified overdraft limit from time to time.

HLB will only stop payment on any cheque issued upon receipt of instructions from the Customer whether in writing or through any other services made available by HLB and HLB shall NOT be responsible for any loss or damages caused due to the Customer’s oversight. HLB is authorised to honour and comply with all cheques, drafts, orders to pay, bills of exchange and promissory notes expressed to be drawn, signed, accepted, endorsed or made on the Customer’s behalf whether the current account is in credit or in debit or may become overdrawn in consequence or otherwise but without prejudice to HLB’s right to refuse or allow any overdraft or increase of overdraft limit beyond any specified overdraft limit from time to time.

Part F - 12

“Financial Services Act 2013 (“FSA”)/Islamic Financial Services Act 2013 (“IFSA”) and BNM Guidelines on Credit Transactions and Exposures with Connected Parties (“Guidelines”)

To enable HLB/HLISB to comply with the FSA/IFSA and the said Guidelines, the Customer shall declare to HLB/HLISB whether the Customer is a connected party under the Guidelines, which includes but is NOT limited to, a spouse, child, parent or financial dependent of HLB’s/HLISB’s Director, Executive Officer or credit -approving/appraising/reviewing officer or in the case of a corporate/business customer, includes an entity controlled by such abovementioned HLB’s persons. If at any time the Customer becomes a connected person, the Customer must notify HLB/HLISB in writing immediately. HLB/HLISB reserves the right to terminate the Facilities in the event the Customer fail to make the appropriate or correct declaration, resulting in HLB/HLISB contravening the FSA/IFSA or the said Guidelines.

“Financial Services Act 2013 (“FSA”)/Islamic Financial Services Act 2013 (“IFSA”) and BNM Guidelines on Credit Transactions and Exposures with Connected Parties (“Guidelines”)

To enable HLB/HLISB to comply with the FSA/IFSA and the said Guidelines, the Customer shall declare to HLB/HLISB whether the Customer is a connected party under the Guidelines, which includes but is NOT limited to, a spouse, child, parent or financial dependent of HLB’s/HLISB’s Director, Executive Officer or credit-approving/appraising/reviewing officer or in the case of a corporate/business customer, includes an entity controlled by such abovementioned HLB’s persons. If at any time the Customer becomes a connected person, the Customer must notify HLB/HLISB in writing immediately. HLB/HLISB reserves the right to terminate with prior notice any facility granted to the Customer in the event the Customer fails to make the appropriate or correct declaration, resulting in HLB/HLISB contravening the FSA/IFSA or the said Guidelines.

Part H - 9

HLISB will only stop payment on any cheque issued upon receipt of instructions from the Customer whether in writing or through any other services made available by HLISB and HLISB shall NOT be responsible for any loss or damages caused by an oversight. HLISB is authorized to honor and comply with all cheques, drafts, orders to pay, bills of exchange and promissory notes expressed to be drawn, signed, accepted, endorsed or made on the Customer’s behalf whether the Account(s) is in credit or in debit or may become overdrawn in consequence or otherwise. Where a debit or non-prearranged overdrawn position arises, the Customer shall be liable for and shall make good the amount overdrawn.

HLISB will only stop payment on any cheque issued upon receipt of instructions from the Customer whether in writing or through any other services made available by HLISB and HLISB shall NOT be responsible for any loss or damages caused due to the Customer’s oversight. HLISB is authorized to honour and comply with all cheques, drafts, orders to pay, bills of exchange and promissory notes expressed to be drawn, signed, accepted, endorsed or made on the Customer’s behalf whether the Account(s) is in credit or in debit or may become overdrawn in consequence or otherwise. Where a debit or non-prearranged overdrawn position arises, the Customer shall be liable for and shall make good the amount overdrawn.