The Ernakulam District Consumer Disputes Redressal Commission has slapped a bank with a fine of ₹1.10 lakh for violating a promise given at the time of selling a credit card.
The Commission found the alleged action of the bank an unethical trading practice. The Commission comprising president D.B. Binu and members V. Ramachandran and Sreevidhia T.N. issued the verdict on a petition filed by Arun M.R. of Koovapady against RBL Bank Ltd.
According to the complainant, he had bought the card on the assurance that it did not entail any hidden or annual charges. He used the card to the tune of ₹50,000 to buy fuel. He claimed to have received no message from the bank about the payment even after 40 days. Attempt to reach the bank through phone also failed. Following this, he chose to close the credit card account.
He was asked to pay ₹50,590, which he paid through UPI. However, the bank allegedly demanded another ₹4,718 for closing the account initially which then rose to ₹13,153. In the legal notice sent by the bank, the customer was allegedly asked to pay ₹14,859.
However, the complainant claimed that he had not received the credit card for the number mentioned in the notice. Following the entire episode, his CIBIL score allegedly dropped from 760 to 390 leading to denial of bank loans. His request to the bank to get his name removed from the CIBIL defaulter’s list also went unheeded, said the complainant.
The opposite party failed to file a response with the Commission. “It is unfortunate that in today ‘s digital age, where communication and financial transactions should be seamless, a simple request to close a credit card account spiralled into a prolonged ordeal for the complainant. The pain and frustration he endured, relying on his creditworthiness for financial stability, serve as a reminder of the importance of prompt, responsible service by financial institutions. This Commission acknowledges the human toll this has taken on the complainant and recognises the need for fair compensation to address both the tangible and intangible harm caused,” the Commission observed.
Consequently, the Commission directed the bank to take steps for the removal of the name of the complainant from the CIBIL defaulter list and take immediate steps for restoring the complainant’s original CIBIL score. Besides, the opposite party was asked to compensate the complainant by ₹1 lakh and pay another ₹10,000 towards the cost of litigation.
Published – October 18, 2024 08:57 pm IST
