 "SBI asked to pay Rs 5,000 for receiving double payment of EMIs")
State Bank of India has been asked by a consumer forum here to pay a compensation of Rs 5,000 to one of its customers for receiving double payment of equated monthly installment (EMI) for home loan for two months.
The West Delhi Consumer Disputes Redressal Forum, presided by Bimla Makin, asked the bank to pay the money to Delhi resident S Kochhar for receiving double payment of EMI for the months of March and April, 2011.
The forum, however, observed that the complainant had not disclosed the entire facts as he himself had asked SBI for the change in mode of payment of EMIs from cheques to deposit transfer from his savings account maintained with the bank.
"The complainant has not disclosed this fact in his complaint and has hidden the relevant fact. Impact of this transition in the payment terms and its processing time as well as return of unused cheques must have been agreed between both parties involved in the transaction and effected upon.
"...However, it is apparent that in the process, Opposite Party (OP) has received EMI payment twice for the months of March and April, 2011, but the same was accounted for in statement of account given to the complainant.
"Thus, OP (bank) is only deficient on account of receiving double payment of EMI for month of March and April, 2011," the forum said.
The forum, also comprising its member Urmila Gupta, noted that EMI payments for the months of March and April 2011 were transition period for change in mode of payment from cheque to deposit transfer from the bank account.
Kochhar had told the forum that he took a home loan from the bank for which EMI of Rs 30,336 was to be paid by him and he had deposited advance post-dated cheques with the bank for timely payment of EMIs.
He told that there was timely payment of EMI's without any default since the loan was received by him.
He said that he had paid the EMI for month of March 2011 through cheque to the bank but despite this, Rs 30,336 was deducted from his saving account.
The West Delhi Consumer Disputes Redressal Forum, presided by Bimla Makin, asked the bank to pay the money to Delhi resident S Kochhar for receiving double payment of EMI for the months of March and April, 2011.
The forum, however, observed that the complainant had not disclosed the entire facts as he himself had asked SBI for the change in mode of payment of EMIs from cheques to deposit transfer from his savings account maintained with the bank.
"The complainant has not disclosed this fact in his complaint and has hidden the relevant fact. Impact of this transition in the payment terms and its processing time as well as return of unused cheques must have been agreed between both parties involved in the transaction and effected upon.
"...However, it is apparent that in the process, Opposite Party (OP) has received EMI payment twice for the months of March and April, 2011, but the same was accounted for in statement of account given to the complainant.
"Thus, OP (bank) is only deficient on account of receiving double payment of EMI for month of March and April, 2011," the forum said.
The forum, also comprising its member Urmila Gupta, noted that EMI payments for the months of March and April 2011 were transition period for change in mode of payment from cheque to deposit transfer from the bank account.
Kochhar had told the forum that he took a home loan from the bank for which EMI of Rs 30,336 was to be paid by him and he had deposited advance post-dated cheques with the bank for timely payment of EMIs.
He told that there was timely payment of EMI's without any default since the loan was received by him.
He said that he had paid the EMI for month of March 2011 through cheque to the bank but despite this, Rs 30,336 was deducted from his saving account.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%