Giridhar 15 July 2016

Credit card payment

I have taken a credit card in 2008, due to financial problem I am unable to clear the dues in time and have entered into full and final settlement in 2009.

They have given a letter of settlement also.

Now the bank is calling me to pay the dues of my credit card which is after 7 years.

I dont remember where I kept the letter in my house, still searching for that.

What is the procedure if I dont find the settlement letter.

In what way I should make them understand that I have settled the amount in one time settlement (full & final settlement).

What should I do if they do not agree to my words.

Kindly advise please

Giri

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4 Replies

Kumar Doab (FIN) 15 July 2016

Who issued the letter Bank or Recovery agency?

Who collected the payment Bank or Recovery agency?

Who is calling you Bank or Recovery agency?

Take up the matter with Bank to search its record and declare the FnF settlement.

If there is no admission of debt in last 7 years then it may be hopelessly time barred, however it may still remain in credit history.

If you are unable to resolve on your own entrust to your able counsel.

Giridhar 15 July 2016

The Bank manager has personally came to me and in his presence only this settlement has done.

The next day recovery agent with the bank letter came to me and took the cash, by handing over the letter of settlement.

The recovery agency is calling me.

After that settlement no body called me nor I have paid any amount to them because the settlement has been done and the account was closed.

"If there is no admission of debt in last 7 years" (I have not understood what this line means). Can you please elaborate on this.

Regards,

Giri

JustAdvisor (IT) 15 July 2016

there is a limitation of 3 years from installment due date. so after 3 years they cannot sue. however if before expiry of 3 years you have acknowledged in writing under your signature that you owe money to the bank, counter restarts. please refer section 18 of Limitation Act

Kumar Doab (FIN) 15 July 2016

You should have paid to bank and obtained the soft and hard copies both of said settlement, reciept of payment, NOC etc etc.

Did you pay in cash or by cheque?

Did you get reciept, NOC etc ?

Do you remember the name of agency/agent/ bank manager?

The bank might have included the payment details against your a/c in its record.

Provided the Bank did not sell the debt to agency and later had nothing to do with debt and agency and did not maintain any record.

Although the agency/bank might not come to you again and court for recovery if debt suffers from limitation it may still keep the debt in credit buruea record e.g. CIBIL.

It is also possible that the agency/bank may post te debt details ( Principle+interest) afresh in say CIBIL to compel you to pay despite limitation.

If you are unable to resolve on your own entrust to your able counsel.