S.K.Vinod Kandan (Project Manager) 13 March 2014

Personal loan

Dear Sir/ Madam,

Greetings.

I had availed a personal loan from a XXX Credit Company Ltd in chennai for the amount Rs. 1,50,000/ - on EMI basis for 48 months. Till date I have paid 34 EMI without any default payment.

When availing loan, company executive had asked me to sign in blank document and when i asked him to provide the photo copy of the same, he replied that i would get this document by post along with other welcome letter and EMI statement. Also the executive conformed me that my rate of interest will be maximum 21%. Then I left the office provide him all necessary documents for loan processing.

Till date I had been paying my EMI presuming that my rate of interest is 21% per annum. When I came to know about EMI Calculator website then I immediately crossed checked my rate of interest based on monthly EMI which was showing my interest rate is nearly 35%. Immediately I have requested their customer care department to provide me the interest rate for my loan amount by email and I was shocked to know my interest rate is 34.21% when I received reply email from them. Also in the reply email it is mentioned that "We wish to inform you that the rate of interest applicable towards your loan account is 34.21%. Hence the same has been informed while the execution of loan agreement".

Then I replied to the email mentioning till date i was not informed about my rate of interest also " There was no mention of the interest rates in the Welcome letter. Moreover you have deducted over Rs 8,414 from my loan amount of Rs, 1,50,000 and this amount has not been reflected in the loan account details " with document proof attachment.

Based on 21% of interest i had cleared 90% of the due. But the company is insisting me to clear all my dues as per their 34.21% of interest.

Please provide me a solution .

Thanks and regards

S. K. Vinod

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2 Replies

Pooja Hegde R. (Advocate) 13 March 2014

Consumer forum is one option but the problem is that you have absolutely no evidence to support that you were assured 21% pa interest. Signing a blank document was a huge blunder too.

Pooja Hegde R. (Advocate) 13 March 2014

Lawyer is correct. But, Spoiling relations by such divorce will complicate the matter for your friend due to increase in ill will. Instead, your friend much win over his wife's trust and be a good husband. Also, the court will decide the dowry case, the divorce wont have any positive impact on the case as parties will be at headlock. Also, if your friend wishes to remarry this wife after divorce, it is a complicated process.