The " Limitation Period " for a personal debt is 3 years from the date of debt./ date of its acknowledgement.
Pl see :
In your case, in 2007 you paid.. 3 years still remained. So till 2010 they could ask you for it, and if you acknowledged ( i. e. accepted ) the debt, a fresh period of 3 years would start from such date of acknowledgement. If you refused and a dispute occurred, they had to take legal recourse within 3 years from 2007. In case they haven't they are bound by Limitation and can't claim now from you, unless they have some exceptions .
Further, in any case you have made a one Time Settlement in 2007 and have copies of the OTS and payment details. You could E-mail to the Bank's Officials ( redressal details and procedure should normally show up on their Website ) to be followed up with mailing the Documents by Courier and in case of still no closure, could take up the matter with Ombudsman ( RBI )
That is my understanding of the matter. Seniors may correct / comment.
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