Banking: Jairam Sridharan

President, Axis Bank, Jairam Sridharan, answers your questions

After I got a letter from my bank, I presented all documents for completing the KYC process for my savings bank account. The bank told me the process was complete. But within a month I got a message saying my account is dormant? Why? What should I do?

If all KYC documents have been duly submitted and are complete, the account should be in an operative stage. However, the account could become dormant if it remains inoperative (if there are no customer transactions) for two years. To find the reason for dormancy of your account, it is best for you to visit your nearest branch.

The bank where I have my salary account is offering me a free credit card. I was told there is no annual fee even after the first year. Does this mean there are no charges at all? If the bank charges after the first year, can I return the card?

"Free credit cards" have a waiver on card membership fees only. Other card-related fees like interest charges, late payment charges and cash withdrawal charges would continue. Also, there are two kinds of free cards on offer- one where the first-year membership fees are waived, and another where there are no membership fees at all for life.

While the latter is much less common, you should check with your bank on what is on offer to you. And, always remember to read the document called "Most Important Terms and Conditions" that your bank will share with you at the point of application, where all the terms would be clearly spelt.

The views expressed are expert's own. Send your queries to yourmoney@bsmail.in