Bank Loan Over-Deductions on Payslips: Causes and Immediate Solutions

Bank Loan Over-Deductions on Payslips: Causes and Immediate Solutions”

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Bank Loan Over-Deductions on Payslips: Causes and Immediate Solutions” Loan over-deductions can be a frustrating experience, whether you’ve personally encountered them or know someone who has. In this article, we delve into the root causes of these over-deductions, particularly within the Controller and Accountant General’s Department (CAGD), and provide actionable steps to address them promptly.

Exploring the Origins of Loan Over-Deductions

The loan acquisition process involving deductions directly from your income source is a complex mechanism. Financial institutions initiate these deductions through the Controller and Accountant General’s Department. When you apply for a loan, the lending institution conducts its calculations and subsequently enters the relevant details into the Controller’s Third Party Reference System (TPRS) Portal. TPRS Portal Login | GOG THIRD-PARTY REFERENCE SYSTEM

This is where the potential for over-deductions arises. We spoke with a few banking professionals to uncover the intricacies of how this happens.

Understanding How Over-Deductions Occur

Loan agents authorized by their respective banks are granted access to the TPRS Portal to input borrower details, including the principal loan amount, accumulated interest, and monthly deduction amounts.

key in mistake

The problem arises when, instead of accurately entering the principal loan amount, an agent mistakenly combines the principal and accumulated interest.

Sometimes, the bank or the lending institution would make a mistake in keying in the total, possibly the bank is supposed to enter a deduction total of 5000 which would be for principal and interest but unfortunately had entered 3500 only which is principal without interest, in this case, when the bank identifies this later, you’ll have to pay back the interest as arrears.

This error still results in monthly deductions but extends the duration of loan repayment. In some unfortunate cases, over-deductions may even occur in the very first month due to incorrect data entry.

Expected deduction and Actual Deduction

In this case, the amount you are supposed to be deducted is more than the amount you are being deducted. If for instance you’re supposed to be deducted 200 every month but you are rather being deducted 150, the 50 Balance will be arrears which you would have to pay back later, this will increase the number of months of payments.

Immediate Steps to Rectify Over-Deductions on Your Payslip

You need to always check your Payslip to be sure you are being deducted the right amount.

Report the Issue on the Epayslip Portal:

If you discover erroneous deductions on your payslip, take swift action by sending a direct message to the CAGD through the Epayslip portal. This is an effective way to bring the matter to their attention.  Go to your epayslip Portal, GOGPAYSLIP E-Payslip Login,

How to Report an Issue on the Epayslip Portal:

If you come across incorrect deductions on your payslip, it’s essential to take swift action by reporting the problem through the Epayslip portal. Here’s a step-by-step guide on how to effectively communicate the issue to the Controller and Accountant General’s Department (CAGD):

1. Access Your Epayslip Portal: To begin the process, log in to the GOGPAYSLIP E-Payslip Login,
2. Navigate to Wrongful Deductions: Once you’re logged in, locate and click on the “Wrongful Deductions” option. You’ll typically find this as the eighth item on your dashboard.
3. Enter Month and Year: In the provided fields, specify the month and year for which you’ve noticed the erroneous deductions. This step helps the system narrow down the records.
4. Initiate the Search: After entering the relevant month and year, click the “Search” button. The system will then retrieve all deductions associated with that period.
5. Identify the Problematic Deduction: Review the list of deductions, and select the deduction item that corresponds to the issue you wish to report.
6. Add a Comment: In the comment section, clearly describe the problem. For instance, you can say, “I’m being overeducated on this item. I’m supposed to pay Ghc 50, but I’m being deducted Ghc 146. Kindly rectify this for me.”
7. Move Up After Comment: Ensure that your comment is correctly entered, and then proceed to the top right corner of the page.
8. Submit Your Complaint: In the top right corner, you’ll find a “Submit Complaint” button. Click on it to formally submit your issue to the CAGD for review and resolution.

By following these steps, you can efficiently report any discrepancies in your payslip deductions through the Epayslip portal, ensuring that the matter receives the attention it deserves for a prompt resolution.

Contact Your Lending Institution:

Reach out to the financial institution from which you obtained the loan. They possess the capability to rectify over-deductions within the Third Party Reference System Portal, swiftly resolving the issue.

After your first deduction kindly divide the remaining balance with the deducted amount to confirm the number of months you are supposed to be paying, Go to the bank to rectify issues with them immediately

Prioritize Early Loan Payments:

Making early payments on your loan can expedite the correction process. Financial institutions access the portal to permanently remove your loan, and in cases of over-deductions, they can promptly make the necessary adjustments.

Engage with Your Loan Agent:

Don’t hesitate to consult with your loan agent to rectify any deduction discrepancies. They can guide you through the steps needed to correct the errors. Sometimes the correction will be made but it will take management some time to Approve, Be on them.

Regularly Check Your Payslip:

One of the key takeaways here is the importance of checking your payslip every month. This routine practice allows you to promptly identify and rectify any unusual or excessive deductions that may occur.

Maintain Open Communication:

In case of persistent issues or difficulties in resolving the problem, consider reaching out directly to the Controller and Accountant General’s Department through their active communication channels.

Inflation and Loan review by Banks does not affect CAGD Loans

The Controller and Accountant General’s Department will deduct the total amount entered on your payslip through the third-party reference system.

You can also check your epayslip portal for wrongful deductions to complain.

Your first point of contact should be the lending institution.

Also note that, unlike most bank Loans that may be affected by inflation and review of loan interest, which will make lenders pay more, the Controller and Accountant General’s department does not allow that to happen, hence, if you should take a loan which is deducted from source, it is not reviewed for you to pay more.

CAGD contact and Regional Address / Locations

Loan over-deductions can happen due to data entry errors, but they are not insurmountable issues. By promptly addressing them through the appropriate channels and maintaining vigilant oversight of your payslip, you can ensure your finances remain on the right track.

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