Order-18.
Date-17/11/2016.
This is an application u/s.12 of the C.P. Act, 1986.
Case of the complainant, in short, is that he is maintaining a savings bank account being account no.011010100356756 at Gariahat Branch. The complainant has also a credit card sanctioned by the OP Bank being Card No.4514570000584006 issued in 2012. The credit card limit is of Rs.50,000/- and monthly dues was to be charged as against SB Account Number as aforesaid. It is stated that the complainant has resigned from his service and joined a new organization for which he faced financial crisis and was unable to pay dues for certain period. The complainant alleges that heavy penalty charges have been imposed by the credit card department of OP Bank without considering his financial crisis. It is also alleged that the complainant was not intimated by ‘alarm’ before imposing such heavy penalty charges to the complainant. Complainant has also alleged that had he been informed, he could have taken care of unwarranted escalation of dues beyond his reach. The complainant submits that this is a cross deficiency on the part of the Credit Card Service Department. It is also alleged that the Credit Card Department of OP bank has adopted unfair trade practice. It is also stated that the Credit Card Department advised the complainant over telephone to pay immediately Rs.3,600/- to waive the penalty charges as he is a good payment master of the bank for the last three years. It is also stated that the bank has blocked balance of Rs.78,732.71 in respect of his savings bank account at Gariahat Branch. It is also alleged that there is absence of co-ordination between Credit Card Controlling Branch at Ganesh Chandra Avenue and O.P. Bank at Gariahat Branch. It is also alleged that the OP Bank has debited an amount of Rs.50,358/- from his Savings Bank Account at Gariahat. It is also alleged that the OP Bank has charged excessive interest on the credit card violating the standing rules or directives of RBI. The complainant has stated that the OP Bank has defrauded him and has indulged in unfair trade practice. The complainant has prayed for reversal of penalty charges subject to minimum payment of Rs.3,600/- and for other reliefs in terms of prayers of the petition of complaint.
OP has contested the case in filing written version contending, inter alia, that the instant case is not maintainable either in fact or in law. It is stated that the OP Bank upon persuasion of the complainant issued a credit card bearing no.4514570000584006 in favour of the complainant with a credit limit of Rs.75,000/-. The complainant has been issuing the said credit card. O.P. has also raised statements from time to time regularly and such statements were duly received by the complainant. It is alleged that in spite of receipt of the statement the complainant failed and neglected to pay outstanding amount. The OP Bank imposed a lien on his savings bank account to the tune of Rs.78,732-71 and called upon the complainant vide notice dated 07-01-2006 to0 clear his entire outstanding of Rs.78,732-71. The complainant in spite of receipt of the notice of the land did not turn up to clear his dues and, as such, OP bank on 08-01-2016 and 19-01-2016 deducted Rs.50,263/- and Rs.36,263/- from the Savings Bank Account of the complainant. It is also stated that a sum of Rs.43,463-02 became due and payable by the complainant as on 07-06-2016. It is denied that the Bank has made unauthorized lien on the complainant’s SB account no.011010100356756. It is denied that there is deficiency of service on the part of the Credit Card Department or OP Bank or O.P. practiced unfair trade. It is also denied that the OP Bank has violated any rules or directives issued by RBI. This OP has prayed for dismissal of the case.
Point for Decision
- Whether the OP Bank is deficient in rendering services to the complainant?
- Whether the OP Bank indulged in unfair trade practice?
- Whether the complainant is entitled to get the relief as prayed for?
Decision with Reasons
All the points as above are taken up together for the sake of brevity and convenience and as the points are interrelated and have closed bearing upon one another.
We have perused the documents on record i.e. photocopy of the letter from the complainant to the Credit Card Department of the OP Bank, photocopy of payment receipt, photocopy of statement of accounts/transaction details of the Credit Card Department, photocopy of My Zone Credit Card Statement and other documents on record as filed from the side of the complainant.
We have also travelled over the documents on record filed from the side of the OP i.e. Xerox copy of credit card, application form, Card Member Agreement, credit card statement, notice dated 01-07-2016 regarding lien given to the complainant etc.
It appears that the OP Bank issued a credit card bearing no.4514 5700 0058 4006 in favour of the complainant with a credit limit of Rs.75,000/-. It is also evident that the said credit card was covered by the Card Member Agreement. The complainant as we find has been using the said Credit Card. It also appears that the OP Bank has raised statements from time to time and sent the same to the complainant and such statements were received by the complainant from time to time. It is an admitted position that the complainant left his service and faced some financial crisis and he, however, joined a new organization thereafter. It is admitted by him that there was payment dues for such financial stringency. It also appears that OP Bank has sent intimation to the complainant to clear his outstanding dues and in spite of being aware about his outstanding, the complainant failed and neglected to clear his dues and the OP Bank imposed a lien on his Savings Bank Account to the tune of Rs.78,732.71 and called upon the complainant vide notice dated 076-01-2016 to clear his entire outstanding of Rs.78,732.71 within 7 days from the date of said receipt. It also appears that the complainant in respect of receipt of the notice of lien did not turn up to clear his dues and, as such, the OP Bank deducted the total lien amount of Rs.78, 732.71 on 08-01-20167 and 19-01-2016 (Rs.14,000/- and Rs.36,263/- respectively) as per O.P. Bank’s right to set off or lien clause-31.1 of Card Member Agreement. It is also alleged by the complainant that the Bank arbitrarily increased the rate of interest and charged the higher rate but the complainant has failed to establish that that the interest has been enhanced or beyond the agreed terms and conditions. We think that a party is bound to pay the interest at the credit rate. We do not think that OP Bank has been deficient in rendering services to the complainant. The complainant became a defaulter in payment of dues. Notice of lien or set off was also issued upon the complainant. It also appears that the amount was due for a period of more than 60 days since lapsed and the bank recovered the amount due from the Axis Bank account of the complainant on Gariahat Branch. We do not think that there was deficiency of service on the part of the O.P. Bank or O.P. Bank put up a gesture of unfair trade practice. The Instant case merits no success.
In result, the case fails.
Hence,
Ordered
That the instant case be and the same is dismissed on contest. No order as to cost.
