You have posted that:
----“The amount claimed by bank in legal notice was made 20 days prior to receipt of notice and well before the due date of the credit card. Hence there was no amount due in my credit card account which even the credit card statement clearly shows.”
The legal notice was unwarranted and harassment in such case.
You can very well claim that Bank/CC company should beg apology, withdraw the legal notice and even demand compensation/damages/defamation etc…………….
---“Suddenly that bank (afetr 2.5 months of receipt of all pending amount) has sent this notice from their arbitrator appointed by them. Hence the legal notice and then this invoking of arbitration clause is not at all valid as the grounds mentioned in the arbitration letter does not arise. There is no amount due and there is no dispute over any of such amount.”
It is believed that you have paid the amount within due date.
If you have indeed paid within due date then both legal notice and arbitrator’s notice are without application of mind and further harassment and you can very well claim that Bank/CC company/arbitrator should withdraw the notice and should beg apology, withdraw the legal notice and even demand compensation/damages/defamation etc…………….
If you have not paid the due amount within due date and/or the penal charges within due date then even then the legal notice sent by bank was unwarranted and you can agitate.
---“ i received a legal notice from bank for the payment of X amount due against my credit card and asked me to pay such amount within 15 days alongwith the notice fee of Rs. Y.”
No legal notice and notice fee was warranted since amount was due to be paid only by due date.
---“ The grounds for invoking the arbitration has been mentioned the dispute over some X amount due over my credit card balance. The arbitrator has called for initial meeting and has asked to attend such meeting mandatorily.”
What is the detail of this due amount mentioned as due amount by arbitrator; the actual amount that was disputed and payable within due date or late payment charges/finance charges/penal charges etc?
Even if these are late payment charges/finance charges/penal charges etc then if you have paid these already then you can put it on record in writing under proper acknowledgment with seal, signature, date or by Redg. Post or thru redg. Email id with a copy to you.
Has the bank explained the disputed charges to your satisfaction or not? Has it substantiated with copy of charge slips duly signed by you?
If the actual amount that was disputed and payable within due date or late payment charges/finance charges/penal charges etc and has been paid by you within due date (amount +penal charges) then arbitrator’s notice seems to be again without application of mind.
In such case you may be qualified to place on record the loss of faith in arbitrator and your able lawyer/counsel may opine that you can press for arbitrator of your choice and it may be your own lawyer.
Your lawyer/counsel that is well versed with banking/consumer/arbitration/such matters and that has examined the CC application submitted by you, Card member’s agreement, charge slips, Bills of CC Company, MITC, legal notice, arbitrator’s notice etc and your inputs can advise you the best................................and can notice the local BM, Manager-CC, MD of the bank and make them a party.
Which bank it is?
Why are you banking with such bank/CC company?
Why have you signed arbitration clause?
You may tame and shame the Bank/CC compnay if facts are on your side and get it penalized.
You can report to the Officer In Charge of CC in RBI and to Governor and demand to penalize the Bank.......................you can download the contact details from another thread at: