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Dear Advocates ,

I have Saving Acoounts in Axis Bank & I have Authorise HDFC bank for ECS Debit of Home loan EMI on 10 th of every Month. But So many times what happends & I had deposited requried cash money in my Axis Bank account on 10 th farely in the morning scedule. but still my ESC got bounce so many times.

Is am i guilty for this ECS  buonce or AXIS BANK IS ON FAULT. Please guide us.

Regards,

Rajesh Alone

To Dhirajmal: If your unutilised balance in the OD a/c is insufficient to cover the amount of chq, the bank is right in returning the chq with the reason "insufficient fund". The figure to consider is not "OD limit" but "unutilised portion of the OD limit", or "the available balance in the OD a/c".

To Rajesh Alone: The simplest solution is to deposit cash 1 working day earlier. It is a typical practical case of exactly when the ECS debit mandate gets executed (done centrally by the Bank) and exactly when the cash is credited to the a/c (done at the branch level). If you are depositing non-Axis Bank chq, please understand the clearing cycle at the location and deposit non-Axis Bank chq accordingly.

@Dhiraj - Verify your OD statement and findout the available amount on the day of cheque return.  If the available amount is sufficient to meet the cheque, dishonouring the cheque is wrongful.  If is not sufficient the act of the Bank is right.  By applying the above test, if you conclude that it is wrongful, take up the matter the Bank.  Claiming damages is not so easy.  You will have to prove that you have sustained the loss actually.  You may have to initiate legal battle for recovery of damages which is lengthy and costly.  

@Mr.Rajesh: Why don't you deposit the amount one day in advance.  If that is not possible, you can even give another mandate for ECS with a different date.