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Murthy   28 July 2021

Claim for damages misrepresentation by bank

Bank has debited amount with interest without knowledge of customer by misrepresentation and is evading to settle the matter and reverse payment.The claim amounts below 50k.What is the appropriate jurisdiction court to file a complaint and claim amount when bank has refused to reverse payment TIA


 2 Replies

BHAVYA SOM GARG   29 July 2021

You have raised a very important question as it is a very common problem faced by bank customers and insurance policy holders. I must tell you that such practices wherein the bank deducts the amount from the accounts of the customers along with interest has been termed as an ‘unfair practice’ by various authorities like the RBI etc. In a case before the Consumer Court, Tirunelveli, there were similar facts where the bank had deducted an amount of Rs. 12 from the bank account of the customer without his consent towards the premium of an insurance policy held by the customer. The consumer court held that such deduction without the consent of the account holder amounts to an ‘unfair practice’ and imposed a fine upon the bank for deficiency in services and the mental agony so caused.

In your case, since the bank is avoiding the opportunity to settle the claim, you can raise the issue before the Banking Ombudsman. If the issue remains unresolved there, then you can approach the District Consumer Forum, and can simultaneously lodge a complaint with the RBI. One of the ways would surely lead to a favourable solution.

Hope it helps you.

1 Like

Murthy   05 August 2021

thanks for the detailed suggestion

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