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Banking & Insurance LawsStart a Discussion on Banking & Insurance Laws of India (any of one can also ask question in this page and any one can answer it)


82 Responses to “Discussion Forum on Banking & Insurance Laws”

  1. veena rustagi

    lic death claim NOT ISSUED BY LIC BRANCH LAXMI NAGAR DELHI-BO-12K.POLICY NO-126178830.THREE YEARS LATE

    Reply
  2. veena rustagi

    sir,my husband expired with life insured from lic laxmi nagar mangal bazar delhi branch.now i deposited all documents as required by lic .but death claim not issued since three years.i have no source of income .my childrens near to death due to hunger.lic police no-126178830-prakash chand rustagi

    Reply
  3. Narayana

    Dear sir, my name is narayana retaired state government officer aged 67 years. My pension credits in sbh warangal main branch. I stood as a guarantor for a loan taken on pension amount 120000. The person who took loan used to pay 6000 per month as emi. After paying 9months (6000*9=54000) unfortunately she died she doesn’t have spouse. Bank has been deducting emi from my pension they have deducted 4500 every month. They deducted for 4months 4500*4=18000. Now they are saying they will keep my entire pension on hold till they recover their loan amount. My pension is 13600 per month I already have personal loan running for that 5000 emi. After emi I get 8600 if they deduct emi of 4500 of deceased loan then I get 4100 which is not enough for my survival I have wife who is sick I have to spend 4000 for her medication. Bank deducting money with out any notice. I have two questions as per sbh rules pensioners are eligible for the maximum personal loan of 75000, how can they give 120000. And that time when loan was taken my pension was 11000 per month, so I was not eligible as a guarantor such a huge amount of 120000. Why they consider me as guarantor. My a/c no 62009710704. Narayana janupa, branch code 20148.

    Reply
    • Neil

      HDFC Bank Manager arrested for LC fraud A day after the arrest of an ICICI Bank employee by Mumbai Police for illegally withdrawing Rs.49 lakh from a dormant account, another such case has come to the fore wherein an HDFC Bank employee was found to have aided racketeers to withdraw approximately Rs.15 crore. On January 3, police personnel from the MRA Marg police station arrested Umesh Sakharkar, Manager (NRI Banking Branch, HDFC bank), in connection with the Letter of Credit (LC) racket, in which The Ratnakar Bank Ltd. was duped to the tune of nearly Rs.15 crore. The involvement of an HDFC bank employee in the racket was first highlighted by the ADC in its report ‘Private bank employee involved in LC racket’ (Dec. 23, 2013). The police were probing the LC racket case for more than a month and arrested Shwetal Sakaria (Managing Director of Arihant Chemicals and Resins (I) Pvt. Ltd.), his partner Ahilesh Shah and their aide Himanshu Bhatt. According to the police, Shwetal had formed a dummy company named Mahavir Enterprises and his aide Bhatt had approached The Ratnakar Bank. Subsequently, Bhatt presented three LCs on behalf of Shwetal to the bank and successfully procured nearly Rs.15 crore in total. The LCs given by the accused to The Ratnakar Bank belonged to HDFC bank, which turned out to be forged.

      Reply
    • Gaurav Nagpal

      Mr.Narayana,
      In the normal circumstances if you are a guaranter than you are liable to pay the balance loan amount and if you do not pay the bank can file a legal suit against the guaranter because you have given the guarantee,
      You have 2 options left
      1. If the bank done any insurance against the loan given to the insured than please check the policy as in those circumstances you can get escape.

      2. The other option you have is to stop making a payment through your policy and as result bank go legal against you and then you make do the OTS ( one Time settlement at the half of the amount of balance loan)

      Reply
  4. SUBRAMANIAN NATARAJAN

    Now that RBI has asked all banks to implement Ind AS (IFRS) international standards merged with Indian GAAP for banks wef Jan1, 2018, is there any one who can throw light how impairment of assets would be valued by banks? Will it affect all assets collaterally mortgaged to financial institutions. Any one who has previously handled IFRS in a foreign country may answer this question.

    Reply
  5. Ritesh sishodhiya

    I am staying somewhere else. Till August I was paying installments and maintenance of the premises but now due to financial issues I have stopped the EMI payments. When account was about to go in NPA, my inlaws paid the installment. http://kanoonquestions.com/
    what a wonderful post.

    Reply
    • Gaurav Nagpal

      90 days from the date you have stopped the payment. After 90 days the account will turn into an NPA account and there after the bank will start the recovery procedure.
      Consult a consultant before it gets too late.

      Reply
  6. Tathagat Mohanty

    I want to know what happens, when the bank demands a certain amount to be paid towards NPA account under SA Act 2002, but the creditor is unable to pay as there is an Income Tax attachment to his company accounts , which disables him from depositing or collecting any amount. !!!

    Reply
    • Gaurav Nagpal

      Sir,
      Your questions is not well drafted.
      Please consult before it gets too late.

      Reply
  7. deepak

    A customer of my branch is denying of payement received from cc account worth 3 lakh.however on verifying I found that withdrawl form holds his signature. Cc tv footage might be expired as amount widrawn was in September 2015.customer has launched a fir against me (manager )accusing me as culprit. Is customer fir valid, can I get arrested?what steps should I take now?

    Reply
    • Gaurav Nagpal

      You must be having a legal cell within your branch.Go and take a protection of a lawyer immediately

      Reply
  8. MD Jahangir Pasha

    Good Evening Sir,

    I am getting call from HDFC CC Department or who call me with private number without any natural number as we use in our daily life, i have clearly told them i was not that person to whom they are searching. They asked me information as they are given me credit card, Now using the same information they are harassing me. Even i told not to call me. They first Called me asked my name, age, date of birth, place, salary details and company details. I have appled for the Credit card, it was not issued. And after that i have been receiving the call stating that i have a credit card in year 2006 or 2007 or 2008 or 2010 exactly i don’t know. That person to given me that information about whom they are searching it was not matching with my credential, Date of birth, age, previous job and maden name and address, even they are harassing me as i am the same person. And i had good track in Bajaj Fins lending, and icici bank and SBI i am using the credits card and personal loan as well. i am afraid of that by they own if they think or assume that i was the same personal then that will be problem for my financial position. if i does’t have proper track then how can get all credit cards and personal loans

    MD Jahangir Pasha
    8019978600 all the credential are taken from Monster India .com as i am getting all the spam mails from as stating that they issue me the Card card and loans.

    As a common man every body have the right to get good job so i have posted my resume in job portals. but it was a trouble for me and i think there are many more case about the stealing of data from job portals and getting harassed by bank.

    Reply
    • SUBRAMANIAN NATARAJAN

      You may lodge a complaint with ombudsman attached with concerned region of RBI after lodging a complaint in this regard to the chairman of HDFC.

      Reply
  9. Mrunali

    I have taken loan on my house which is in name of my husband and myself. After my husband’s death my inlaws took illigal possession of the house. They have another house which they have given on rent & staying in my house. I am staying somewhere else. Till August I was paying installments and maintenance of the premises but now due to financial issues I have stopped the EMI payments. When account was about to go in NPA, my inlaws paid the installment. My query is, can bank accept EMI from anybody staying in house without borrower’s consent?

    Reply
    • Gaurav Nagpal

      Dear Mrunali,

      If the emi is not paid within 90 days then the account will get an NPA.
      Please read the loan agreement papers and show it to the good lawyer i mean good lawyer,
      yes your inlays can pay the instalment but that doesn’t mean that the house has gone out of your hands.
      Please check is there is any power of attorney which your husband has created in the name of there parents.

      Reply
  10. amiit Gupta

    Pvt banks will push you for your pending balance loan..if they had not contacted you properly to inform regularly about your balance & adding extra charges on your principal amount..so RBI ombudsman will gives you result but need to push 2-3 times..

    If not then send a hard copy to deputy registrar RBI -CSD division & with in a month issue will be resolved..

    I had a same issue & got my positive result.

    Thanks
    Amiit G

    Reply
  11. vicky.samshri

    Case:

    There is an property auction in xyz bank, let us say “A” person wants to buy property but he cannot able to attend the property auction.

    “A” does not have bank account with xyz bank, and given authorization letter on white paper (That on behalf of”A”, “B” will attend).
    I would like to know, what are the legal rights allowed to “B” as per the banking law.

    1. If “B” Bang the property on the name of “A”, and the Manager/Authorizing Officer accepted/granted the property without confirming the amount with “A”. Is it legally accepted? (Since based on simple authorizing letter on white paper, did the Bank manager has the rights to confirm the property)

    2. What all the legal rights allowed to “B” as per banking law?

    3. Is the Manager/Authorizing officer, has rights to forfit the amount of “A” based on authorizing simple white paper (“A” does not have bank account with xyz bank) – If No under what laws and banking law it is termed under and what action could be taken on Authorizing Officer & “B”?

    Note:
    I came to know that, In the absence of person “A” & Not having account with Auctioned bank (xyz bank)- The Authorizing Office or Manager has to consider “Power of Authority” from “A”. – It is true & what term is considered under banking law.

    It would be highly appreciable for your concern reply at the earliest.

    Thanks & Regards,
    Vicky

    Reply
  12. sachin rajput

    I got warning by the BC branch of our Bank, If I will open Fruad case of BC or BC staff. BC branch will hang me in other artificial case. How will cope up with problem.I am not involve in the fruad, man power of BC is large, customer is also listen him.

    Reply
  13. Vineet

    HDFC Bank Manager arrested for LC fraud

    Wednesday, January 08, 2014
    By Neel Shah

    A day after the arrest of an ICICI Bank employee by Mumbai Police for illegally withdrawing Rs.49 lakh from a dormant account, another such case has come to the fore wherein an HDFC Bank employee was found to have aided racketeers to withdraw approximately Rs.15 crore.

    On January 3, police personnel from the MRA Marg police station arrested Umesh Sakharkar, Manager (NRI Banking Branch, HDFC bank), in connection with the Letter of Credit (LC) racket, in which The Ratnakar Bank Ltd. was duped to the tune of nearly Rs.15 crore. The involvement of an HDFC bank employee in the racket was first highlighted by the ADC in its report ‘Private bank employee involved in LC racket’ (Dec. 23, 2013).

    The police were probing the LC racket case for more than a month and arrested Shwetal Sakaria (Managing Director of Arihant Chemicals and Resins (I) Pvt. Ltd.), his partner Ahilesh Shah and their aide Himanshu Bhatt. According to the police, Shwetal had formed a dummy company named Mahavir Enterprises and his aide Bhatt had approached The Ratnakar Bank. Subsequently, Bhatt presented three LCs on behalf of Shwetal to the bank and successfully procured nearly Rs.15 crore in total. The LCs given by the accused to The Ratnakar Bank belonged to HDFC bank, which turned out to be forged.

    During the probe, investigators had strongly suspected the involvement of a bank employee in the fraud. “While verifying the three LCs, the bank employee had declared it as authentic and this can be possible only with the involvement of a bank employee at a senior level”, said Addl. CP (South Region) Krishna Prakash.

    It was only after the three LCs were verified and marked as genuine, the Ratnakar Bank gave nearly Rs.15 crore to the accused, informed Ashok Jagdale, senior inspector of MRA Marg police station. After the credit period was over and when the Ratnakar Bank approached the HDFC Bank to encash the LCs, they were shocked to learn that all the LCs were forged.

    On November 27, a case was registered at MRA Marg police station and the police on November 30 arrested Shwetal. The latter’s interrogation led the police to arrest his partner Shah and aide Bhatt.

    Meanwhile, Sakharkar has been sent to police custody till January 9 and all the concerned accused are arrested and booked under sections 465 (Punishment for Forgery), 467 (Forgery of valuable security, will, etc.), 468 (Forgery for purpose of cheating), 471 (Using as genuine a forged document), 420 (Cheating and dishonestly inducing delivery of property), 120B (Punishment of criminal conspiracy) and 34 (Acts done by several persons in furtherance of common intention) of IPC.

    Reply
    • Shwetal Sakaria

      Dear Sir – It’s easy to put allegation on others. I am Shwetal Sakaria and I was been duped by Ilesh Shah, Mandar Tendulkar & Himanshu Bhatt who’re doing this kind of activity for several years. Moreover, Ratnakar Bank Ltd top employees were also involved. My company was 47 years old and you may check the history.

      Reply
  14. Satyenn N Sinha

    Hello;
    One person named K.S.Maley had obtained loan fraudently of Rs95Lacs and submitted my documents for guarantor and some one instead of me was presented to the bank officals in my placein collusion with bank officials. after a period of 4 months the said K.S.Maley stopped paying installments, the bank officials also got transferred, the new manager verified the documents and found some imbiguity,tried to contact K.S.Maley but failed subsequently a case was registered in the concerned police station and news about the same along with my name was published in leading dailies of the city through which I came to know, I went to the bank presented my side but they were not ready to hear me following which I secured anticipatory bail which was confirmed thereafter, K.S.Maley had been also arrested and realeased on bail, the charges are yet to be framed, All I want to know from this forum is :-
    1) I being a government servant abnd a respected and law abiding citizen had to undergo tremendous mental tension due the fraudulent ways of the said K.S.Maley and the Bank officials,wether I can File a Defamation Suit against them?
    2) If yes,for how much amount.?
    3) How much Stamp duty shall I have to pay to the court?
    4) When Can I file the Suit?
    An early sugeestions on the above is solicited as i am at a loss to understand my future course of action.
    Thanking u all in anticipation.

    Reply
  15. aniket.flip

    FLIP in association with HDFC Bank has launched the Branch Sales Officer Certification Program. The BSO Certification Program, offers a candidate, the chance to start a successful career, with HDFC Bank. The program aims to offer both, banking product knowledge and selling skills; enabling you to start a banking career, in the fast growth area of sales.
    The 4 week online program is blended with interesting live simulations, web faculty sessions and e-mail query support; you can access the course from anywhere, anytime.

    Selection Process
    You need to follow a simple, 4 step process:
    1. Apply:
    Candidates aiming for this post are required to apply online by filling an application form.
    *There is no application fee.

    2. Clear Interview and get an offer:
    Eligible applicants for the job get interviewed by HDFC Bank. Selected candidates will get a provisional offer letter.

    3. Earn Industry recognized Certification:
    Applicants will then have to clear the FLIP Branch Sales Officer Certification Program.
    The fees are just Rs. 5,000. This is payable in two instalments:
    a. Rs. 1,999: When you enrol, after receiving the provisional offer letter.
    b. Rs. 3,001: After you successfully complete the Branch Sales Officer certification. If you do not complete, you do not pay this instalment.

    4. Join HDFC Bank:
    Successful candidates, after clearing the BSOP Certification, can avail their certificate and the offer letter and join the bank within 2 weeks.
    The total fees, of Rs. 5000*, will be fully reimbursed by HDFC Bank, on completing three months, with the bank.

    *Note: The above fees are valid for this batch only.

    Limited seats, strictly on a first-come-first served basis,
    Job openings currently in: Delhi-NCR and Mumbai.
    For details: http://jobs.learnwithflip.com
    Also you can visit HDFC website:
    http://www.hdfcbank.com/aboutus/careers/sales_officer_program.htm

    About HDFC Bank:
    HDFC Bank, with over 69,000 employees, is India’s leading private sector bank. It is featured as one of the Top Ten Employers in India (Business Today). It currently has a nationwide network of 3,336 Branches in 2,104 Indian towns. It offers a wide range of banking products, as also Mutual funds, Life Insurance etc.

    About FLIP (Finitiatives Learning India Pvt. Ltd.: http://www.learnwithflip.com):
    FLIP, a senior IIM alumni venture, is India’s largest e-learning and certification offering in Banking and Financial services. Over 20,000 students, working professionals, banks, IT companies & corporate houses use FLIP Programs for enhancing their career.

    Reply
  16. SurajParkash Tuteja

    Can a Sub Division Executive Magistrate, called SDEM accept bail from an accused a NBW issued by a Judcial Magistrate, one second, can this ESDEM condone the direction given to the accused to surrender in the court of NBW issuing Judicial Magistrate court, again and again for 4th. Time, all the time when documents for the accused charged with 6 NBW’s, 2 Proclaimed Orders, are delivered to the SDEM four times starting 30 days in advance, and again allows a bail, instead of giving out a tran sit bail for police to produce the accused in NBW issuing court. Please inform if an executive magistrate give bail, apart from a transit bail against NBW by a Judicial Magistrate, time and again kindly obtain full quarry from gold.ambala@gmail.com

    Reply
  17. rohit singh

    CAN BANK DECLARED NPA ON 89 DAYS IF YES ON WHICH RBI GUIDELINES AND IF NO THAN HOW WE FIGHT CASE IN DRT AGAINST BANK. PLS HELP ME ON AND BEFORE 15-01-14 (COURT DATE)

    WITH BEST REGDS

    Reply
  18. krishna

    if borroer is having consortium arrangement, can a lender out side consortium can fund the customer, if yes, what steps to be followed by bank/ NBFC which propose to fund

    Reply
  19. Mirza Anis

    Hi,
    I have a close family friend of 40 yrs, He some time back, give me a loan of Rs.30,000/- without any promissory note or any written document it was all orally understood. He did not gave a time frame and said return it whenever you have sufficient amount. Lately he said please give me a post dated bearer cheque in my name for the said amount. I trusted him and gave him a cheque amounting 30,000/(thirty thousand) I dont have sufficient amount in my account. He presented the cheque in the bank and brought back the bounced cheque, and now THREATENS to file a suit and complaint against me. No negotiation is possible with him now. How can I save my self from any further humiliation.

    Reply
    • Sudam Ghosh

      Mr. Mirza, your friend is smart and knowledgable. By handing over the cheque, you have acknowledged the debt. Dishonour of cheque for insufficiency of funds in the drawer’s account, under Sec. 138 of N.I. Act 1881, attracts a criminal liability. The Act provides a punishment with imprisonment which may extend to two years or with fine which may extend to twice the amount of the cheque or with both.

      Reply
  20. cherry

    Hi All
    Im cherry and Im new to this forum. I would like to know some details and suggestions from you people for my problem.
    My father is a government employee and he is giving surity to his brother, who is working in cine industry. My father’s brother took home loan from some bank, for that my father given surity to him. For giving surity he submitted his salary payslips, ID proofs etc. Now my doubt is what will happen if my father’s brother will not pay the loan in time? Is there any chances to do any salary deductions to my father because of that loan repayment? In future does my father eligible for taking any home loan of his own purpose before my uncle repays his home loan?
    Please clarify doubt. Im so much worried about this problem. Please reply me as soon as possible.

    Regards
    Cherry

    Reply
  21. cherry

    Hi All

    Im cherry and Im new to this forum. I would like to know some details and suggestions from you people for my problem.

    My father is a government employee and he is giving surity to his brother, who is working in cine industry. My father’s brother took home loan from some bank, for that my father given surity to him. For giving surity he submitted his salary payslips, ID proofs etc. Now my doubt is what will happen if my father’s brother will not pay the loan in time? Is there any chances to do any salary deductions to my father because of that loan repayment? In future does my father eligible for taking any home loan of his own purpose before my uncle repays his home loan?

    Please clarify doubt. Im so much worried about this problem. Please reply me as soon as possible.

    Regards

    Cherry

    Reply
    • Sudam Ghosh

      Mr. Cherry, as your father is a guarantor for a loan sanctioned by a bank, his liability will devolve only if the principal borrower is in default of payment and the bank makes a claim against the guarantor. In your father’s case, the bank can legally move against him if your uncle defaults in payment. In such an event, your father has to repay your uncle’s dues. Nowadays, the loan particulars of borrowers of all banks is availaible in CIBIL website and the banks have been mandated not to provide loans to a defaulter.

      Reply
  22. SRIDHARAN

    MY CHEQUE WAS DISHONOURED BY MY BANKER – REASON :
    “FUNDS INSUFFICIENT” BUT MY ACOOUNT HAS SUFFICIENT
    CREDIT BALANCE – MORE THAN THE CHEQUE AMOUNT AND THERE IS NO QUESTION OF “INSUFFICIENT FUNDS”
    CAN I TAKE LEGAL ACTION AGAINST THE BANK(S)? UNDER WHICH SECTION – VIZ;
    THE CHEQUE WAS DEPOSITED WITH BANK “X” WHICH SENDS THE CHEQUE FOR CLEARING TO BANK “Y” WHICH DISHONOURS THE CHEQUE WITH REASON “INSUFFICIENT FUNDS”
    CD U PL ADVISE ME HOW SHD I PROCEED LEGALLY AND AGAINST WHOM; I HV ALL DOCUMENTARY PROOF; BANK “Y” REMAIN SILENT – NOT REPLYING TO MY MAILS; I AM IN SECUNDERABAD AND THE BANK ACCOUNTS ARE IN CHENNAI; IS THERE ANY TIME LIMIT FOR INITIATING LEGAL ACTION
    PL ADVISE

    Reply
    • Sudam Ghosh

      Mr. Sridharan, you can approach the Banking Ombudsman of your state by e mail or letter and ask for redressal and compensation. Before that you have to seek redressal from the bank’s in writing. If the banks do not redress your complaint within 30 days from the date of complaint, you can apporach the Banking Ombudsman, where the trial is speedy and summary. In case you are not satisfied with the decision of the Banking Ombudsman, you can seek repreive from Banking Appellate Tribunal. The limitation is one year from the date when the cause of complaint arose.

      Reply
  23. M.K.MISHRA

    Action in Securitisation Act:-
    First Loan a/c is NPA. Second Loan a/c is PA.
    Proprietor of First a/c is guarantor in Second a/c.
    Another guarantor is same in both accounts.
    Both guarantors are co-owners of property mortgaged in both a/cs.
    My question is :- Second a/c should be treated as NPA or Not?

    Reply
    • Sudam Ghosh

      Mr. Mishra, as per IRAC norms, loan accounts are classified as NPA borrower wise and not account wise. Therefore, in this case even if one account is NPA while the other is not, both accounts have to be treated as NPA if the status of the owners are same.

      Reply
  24. M.K.MISHRA

    There are two Loan accounts.
    First is NPA & Second is PA.
    Proprietor of First a/c is guarantor in second a/c.
    Other guarantor is same in both a/cs.
    Mortgaged Property owners are :- Prorietor of first a/c & other guarantor in both a/cs.
    My question is whether second a/c is to be treated as NPA?

    Reply
  25. Swarna kamal Chandra

    My father and mother died in 16th Feb2012 and 11th March 2010 respectively.They have some fixed deposit without nomination in Central Bank of India. I visited the branch, filled all the documents/prescribed forms supplied by the bank and submitted all the original documents on 11th April 2012. Till date I am yet to receive my payments. Every time I visited the branch I was told that the “documents has sent to South regional office and it is in process”. How should I get the payment? Can I get penal interest or compensation for delayed in payment? Please help.

    Reply
    • sd vema

      since there was no particular nominee, you can’t claim penal interest or compensation for delay in payment.

      Reply
  26. karuna

    Hi,
    I am karuna, work for nite shifts, US Process recruiting , i need look after my parents, my father totally fallen sick, only one earning person in family, got in big trouble that i have taken HDFC credit card unfortunately last year. Got to use of card of worth Rs 25,000 in the month of Nov 2011 from Jan 2012 i got call from bank person asking about due payment that was interest for the expenses maid i came to know this after my 4 th payments . so 1st i paid in jan 2012 – Rs. 2250/- and feb 2012 Rs. 1530/- and in the month of march 2012 Rs. 1510/- and April Rs. 6000/- and july Rs. 1400/- and in the month of august bank person spoke to me i asked for solution he said you can for settlement i asked him to do the same after 2 days he called and said we applied for settlement you need to pay Rs.25000/- in 5 installment i asked what all the amount which i paid earlier he said that all was calculated as interested so then i said make it Rs. 20,000/- i will pay in a month. he said it is not possible and in oct Rs.3062/- they have deducted from my debit account and did not intimated even. in oct. i lost my purse in that credit card and other cards gave complaint to bank and local police station also but i did not block my credit card because of no details available with me.
    so in the month of nov i got my salary got credit on 8th then i checked my online account then it was showing in closing balance i did not understood then took my atm card and swipe it was saying insufficient funds. but in ledger balance it is showing amount i called bank person he said you might have any payments to bank so that, is the reason they have hold your money.
    Here the credit card account was my previous company salary account and the amount was deducted from my current company salary account but both accounts are same bank HDFC.
    Then i called up on credit card bank person. he said please come and talk to bank manager.
    i went and spoke to the bank person he said as you have over dues and overlimit you need to pay interest and actual amount total 40,000/- rupees to bank
    now bank have hold your salary and all amount which is Rs. 33,000/- and more Rs. 7000/- you need to pay to the bank with in this month and he threatened me if not your name and details will be entered in CIBIL.
    Even i asked that bank person to give me 3 installments to pay the amount. He refused and said nothing is in my hand i cannot help you, one thing i observed there in bank no one have id cards and it does gave a look of bank environment. i think that was a recovery agents department.
    and today night 20th Nov 2012. my amount was deducted from my account to bank as at 12.40pm i got a message. Fund Transfer to so and so account number.
    Please if any one is there to help me in this issue how i need proceed give any suggestion.
    This whole month i do not have a penny from my salary and my lively hood and daily expenses and homely need i was totally ruined.
    Please Help me….
    Thank you,

    Reply
    • sd vema

      1st file a case on the bank, second cancel the credit card…third get a credit card from nationalized bank and transfer all account connectors to the same…keep no linkages with the previous bank…
      from now on… prefer only govt banks to pvt banks

      Reply
  27. karuna

    Hi,

    I am karuna, work for nite shifts, US Process recruiting , i need look after my parents, my father totally fallen sick, only one earning person in family, got in big trouble that i have taken HDFC credit card unfortunately last year. Got to use of card of worth Rs 25,000 in the month of Nov 2011 from Jan 2012 i got call from bank person asking about due payment that was interest for the expenses maid i came to know this after my 4 th payments . so 1st i paid in jan 2012 – Rs. 2250/- and feb 2012 Rs. 1530/- and in the month of march 2012 Rs. 1510/- and April Rs. 6000/- and july Rs. 1400/- and in the month of august bank person spoke to me i asked for solution he said you can for settlement i asked him to do the same after 2 days he called and said we applied for settlement you need to pay Rs.25000/- in 5 installment i asked what all the amount which i paid earlier he said that all was calculated as interested so then i said make it Rs. 20,000/- i will pay in a month. he said it is not possible and in oct Rs.3062/- they have deducted from my debit account and did not intimated even. in oct. i lost my purse in that credit card and other cards gave complaint to bank and local police station also but i did not block my credit card because of no details available with me.
    so in the month of nov i got my salary got credit on 8th then i checked my online account then it was showing in closing balance i did not understood then took my atm card and swipe it was saying insufficient funds. but in ledger balance it is showing amount i called bank person he said you might have any payments to bank so that, is the reason they have hold your money.
    Here the credit card account was my previous company salary account and the amount was deducted from my current company salary account but both accounts are same bank HDFC.
    Then i called up on credit card bank person. he said please come and talk to bank manager.
    i went and spoke to the bank person he said as you have over dues and overlimit you need to pay interest and actual amount total 40,000/- rupees to bank
    now bank have hold your salary and all amount which is Rs. 33,000/- and more Rs. 7000/- you need to pay to the bank with in this month and he threatened me if not your name and details will be entered in CIBIL.

    Even i asked that bank person to give me 3 installments to pay the amount. He refused and said nothing is in my hand i cannot help you, one thing i observed there in bank no one have id cards and it does gave a look of bank environment. i think that was a recovery agents department.

    and today night 20th Nov 2012. my amount was deducted from my account to bank as at 12.40pm i got a message. Fund Transfer to so and so account number.

    Please if any one is there to help me in this issue how i need proceed give any suggestion.

    This whole month i do not have a penny from my salary and my lively hood and daily expenses and homely need i was totally ruined.

    Please Help me….
    Thank you,

    Reply
  28. Sudhir Parmar

    Dear Sir,
    My father has given photo copies of important documents to one of very close family relative, Such as PAN card & ration card on a/c of good faith & family relations sake. It is known to me that the said relative has a bad credit record & he has even been into prison once on a/c of fraud case. Hence I am sensing a great risk factor here. i.e. this guy is in a nice opportunity to cheat us with the help of some corrupt co-op. bank employees making my father a guarantor for a loan by act of forgery & misrepresentation by creating his passport size photograph from family photographs with the help of photoshop. And putting the name of loanee as some completely other person not known to us by known to this relative. My father has done this act on the basis of pure good faith due to near family relations & reasons. Hence if such things happen and come in front of me in the upcoming years & esp. in his absence, I won’t be able to prove it as forgery since my father is currently at the age of 84 years & with ill health anytime he might collapse. And I will be the legal heir after him. Hence any such documents unless otherwise proved forged, will hold me liable due to this guarantee.
    Hence I’m seeking your legal advice what steps shall be taken so that under any circumstances me or my father are not held responsible for any such guarantees. As on the date my father is not a guarantor or surety with any of the banks of financial institutions.
    I would really appreciate your effort in going thru my post & provide appropriate course of action in this regards.
    Thanking you in advance.
    Sudhir Parmar

    Reply
    • sd vema

      please at once get an affidav. by your father with his sign to prove via handwriting analysis any fraud or forgery at a later stage or in case if death of your father.

      Reply
  29. Bigddaddy

    What If the term loan is taken of 200000 become npa at outstanding of 225000 how the entries should be passed is it 200000 as principal amount and 25000 as suspense interest or 225000 as principal and 25000 as interest suspense ?

    Reply
  30. Bigddaddy

    I am having loan of 5.54 lacs from a nationalized bank account was npa for some period I paid overdue amount after confirmation from bank now the account is out of npa certified by bank. but balance outstanding is showing 5.65 lacs Can this happen?

    Reply
  31. DD Kumar

    I have applied for a HDFC personal loan few days back…. I have provided all supporting and necessary documents like my last 3 months pay slip, last 6 months bank statement, landline bill & bank Statement as permanent address proof, lease agreement, PAN, & vodafone post paid bill for current residential address.

    The fact is that the post paid vodafone bill has been manipulated to current residence adress in mumbai.
    But it actually is on my name and provided by the company and also the bill comes on the office adress.

    So the bank person complaining that this document is forged and we will take legal action against u like we will inform ur HR for job termination or we will place a FIR in the police station and we will put your name to the RBI and u will be black listed for entire life.

    But the fact is till date my loan application has not been approved.

    I have not taken a single rupee from the bank.

    Further i have also provided lease agreement copy for the same residence address and

    My employer has also certified on the letter head that i am staying on the same address.

    So on what ground a legal action will be convicted against me??

    May I request for a urgent reply please.

    Regards,
    DD

    Reply
  32. Moosa

    dear sirs,
    kerala state financial enterprises didn’t released my prize money of chitty, auctioned. the reason they says that i haven’t signed on agreement which executed by the mortgagor. for me to release the payment.i haven’t offered anything other than the mortgagors property. is my signature is necessary.if yes,why

    Reply
  33. Ratan Kapoor

    Stop selling insurence product from bank every bank mainly private bank doesnot know only selling insurence …..is this a RBI rule? Please stop it

    Reply
  34. Ratan Kapoor

    This is the issue that every customer had faced. The banking sector mainly in private sector bank selling no mis-selling insurence; the banker does not know but only selling Life insurence or General insurence . They totally forgot the service to the customer. How our banker RBI gave such permission….. Please stop such practice otherwise named the bankas “XXX Bank Insurence Ltd”. Please sir stop the practice

    Reply
  35. narendra

    A landmark judgment was delivered by the
    NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION in
    Complaint Case No. 51 of 2007 filed by “Awaz”,PunitaSociety,Ambawadi, “Jagrut Nagrik” & Pradeep Kumar Thakur Against 1.Reserve Bank of India,2.Hong Kong and Shanghai 3.American 4.Citibank, N.A.,5.Standard Chartered Bank,

    This case was decided on 07/07/2008 against the Banks charging more than 18% pa interest on credit card outstanding.However the operation of the judgment was subsequently stayed by the Supreme court.

    I would like to know the outcome of the decision of the Supreme Court or if the matter is still pending the case No and present position in the Supreme court.

    Reply
  36. narendra

    if an action is initiated against the borrower under section13(4) of the SARFAESI Act and subsequently the account is upgraded as per Paragraph :4.2.5 of RBI master circular then: Whether proceedings under section 13(4) abate?

    Reply
  37. ASISH BISWAS

    can a reverse mortgage borrower can avail the loan amt. at a time and also whether monthly repayment of the loan amount is possible?

    Reply
  38. harrycoe

    Why do I need Travel Insurance?

    One usually travels abroad for two reasons- a pleasure trip or a business trip. You do not want anything to ruin your hard earned holiday or your crucial business meeting. But there is a possibility of some unexpected occurrence no matter how perfect the planning is. Unfortunate events such as baggage loss, passport loss, a medical emergency or an accident can affect you. Having Overseas Travel Insurance protects you from all such perils. It ensures that in the unknown foreign land you are not left stranded in any kind of an emergency.

    For more details question and its answer you can visit http://www.icicilombard.com/ website.

    Reply
  39. Neelmani Sinha

    dear sir,
    i dont know english… mera prob. ye hai ke mere boss mujhe ek cheque jo account payee tha… aor jo naam se tha, use jana karne bheje.. par wo cheque bank se gayab ho gaya… aor kisi ne use self payment karva liya… jisne bhi wo cheque self payment liya usne account payee ko kat diya aor naam ko bhi kat kar self likh diya… aor mere boss ka duplicate signature kar diya… aor ek id proof laga diya tha… id proof me mere boss ke naam same tha… par photo payment lene wale ka tha… ab eske liye hame kya karna chahiye…?? please help & kindly reply….

    Reply
  40. Sudhir

    Dear Sirs,

    I have an agricultural loan in Haryana against on my farm and as my instalments were overdue the bank recalled my complete loan and initiated sarfaesi action. I have made 40% of my payment in the meantime and my account balance is below the outstanding amount now. But still the bank wants to pursue the sarfaesi action.

    Can anybody guide me if bank can take sarfaesi action against agricultural loan against agricultural land and how can I save myself from the situation

    Reply
    • narendra

      section 31 of Securitisation Act (SARFAESI) exeptms Agricultural Lands from the perview of the Act.
      Hence Agricultural lands cannot be subject to enforcement under SARFAESI. However banks can file
      suit for recovery in Civil Court / DRT and bring thE land to sale subject to State Land Reforms Act.

      Reply
  41. kveer

    can someone tell me in detail, all the aspects of ‘motor vehicle insurance claim’ settlement proceedings?

    Reply
  42. J. K. Shah

    Its Important News For Gurantors Big releif to the gurantor under Securitisation & Reconstruction Of Financial Assests & Enforcement Of Security Interest Act, 2002.. Security to guranee Obligation When guarantor in addition to execute a guarantee bond also mortgage his property to secure his guarantee obligation, it is not possible for the secured creditor as a mortgagee to enforce the mortgage directly under the SARFAESI ACT..
    when the guarantor and the mortgagor is the same person and he has mortgaged his property to secure his guarantee obligation. Under this act cannot enforce direct under SARFAESI ACT..
    For more details Contact:- 09372107667

    Reply
    • swaritkanch

      can you please enlighten me any decided case law of any Court on the proposition you have elicited. What is important for enforcement under Securitisation Act 2002 is creation of security interest and dedclaration of the loan account as a non performing asset. It is immaterial the person creating is a borrower or a guarantor. The definition of debt under the Act says that the Borrower includes guarantor. Therefore a guarantor can not escape the enforcement by a secured creditor. anyway please proovide me a case law on the point stated by you.

      Reply
  43. Santosh Kumar

    A man have two wives, suddenly he dies, then can they withdraw the money from bank if the amt. is 30,000/- and both the wives are living together, but bank manager denied to pay the money. He is asking for a succession certificate. Is it necessary to make a succession certificate if both of them have no objection in each other ?

    Reply
    • Bharat

      Hi,

      Both wives can withdraw amount from bank without succession Certificate,

      First it’s very important, both wives are in nominee in his bank account, if Yes; what is % of share given in favour of each. if both are not only single but both have no objection so out of one can do the same and share to other.

      Reply
  44. M.D.SESHADRI

    sir, can adevelopment officer of lic can approach cgit in case of removal of service

    Reply
  45. arjun

    I am a builder and one of the customer booked the flat with me a year back. The customer has paid 40% amount on agreement to sale and obtained mortgage NOC from me for housing loan. The cheque of 60% amount issued by customer has been bounced. Upon receipt of NOC banker valed property at higher rate and without following proper mortgage procedure, the bank has sanctioned business loan and disbursed to customer. The bank has classified his account NPA after payment default by customer. Now the bank is threatening to me about sarfeisi act and DRT (Securitisation act) for possesion and liquidation. I told them that i have not received full amount from the customer and i cannot give possession to him or banker. The bank has neither seen a final sale deed nor asked for a lien charge. Whole process for creating mortgage is faulty. Now what is the next moove for me to save my hard earned money.

    Please advice

    Reply
    • swaritkanch

      agreement of sale is not a sale in complete sence. It does not create any title or owenership in favour of the purchaser. it only creates a right for specific performance for any default by the Builder provided the purchaser has complied with all the terms and conditions of the agreement or the sale/ The NOC issued by the Builder is subject tot the fulfilment of the terms of the agreement of sale. Under a sale deed is entered into and is valid in all respects including stamping and registration, no rights, interest or title vestes in the purchaser or the bank. The dishonour of cheque itself is an adequate proof that the purchaser has not paid any full consideration to the transaction. bank cannot take any action under DRT Act or the Securitisation Act aga inst the Builder merely because he has issued the NOC. Any legal action by the Bank can be resisted by the Builder successfully although he may have to go rigor of the civil proceedings. None can stop the other form taking legal action. The question is how for such legal action can be sustainable. That is the crux of the matter.

      Reply
  46. J. K. Shah

    Big releif to the gurantor under Securitisation & Reconstruction Of Financial Assests & Enforcement Of Security Interest Act, 2002.. Security to guranee Obligation When guarantor in addition to execute a guarantee bond also mortgage his property to secure his guarantee obligation, it is not possible for the secured creditor as a mortgagee to enforce the mortgage directly under the SARFAESI ACT..
    when the guarantor and the mortgagor is the same person and he has mortgaged his property to secure his guarantee obligation. Under this act cannot enforce direct under SARFAESI ACT..
    For more details Contact:- 09372107667

    Reply
  47. shivaji

    nationalise Bank charged exessive intrest/compounding on agricultural turm,short loans,Then we put case in banking ombudsman office. bank agree ,exessive intrest credited on account. but, not explain thare are compounding or not. ombudsman case dismissed single side now ,where we appeal pl. inform us adress & name of athority (case in mumbai ombudsman office)

    Reply
  48. vedvati

    hi!
    i am a llm student and searchig for a current issue in banking and insurance for my dessertation.
    plz help…….

    Reply
    • kveer

      though it is very difficult to make a detailed research on these topics but i can suggest u some..1. ‘parabankin activites of banks’ in this other than the technicalities of para bankin actvities u can also discuss, its need, current scenerio, role of regional players, comparative analysis of banks, its impetus to the economy, your reccomendations and various other faces on which u can research… i m suggestin u this topic because i am also a law student and i tried to searcg on all these topics but could not find much, had i been a research fellow i would have loved to go and research on it in depth, but m under graduate, and it will consume lot of my time if go to research on this topic… but its is really a “not yet touched topic”…

      2. insurance claim settlement proceedings- in context of all major insurances, this includes a lot of research on the procedure of settling the insurance dispute variably in various kinds of insurances such as motor vehicle insurance, fire insurance etc..

      Reply
      • swaritkanch

        you may consider ‘ derivatives – a source of money laundering, Basel III reforms in Banking – its efficacy for Indian banks, Financial Inclusion – Role and Implementaion by banks,is it a success or failure?, Whther consolidation and mergers in banks is necessary? Entry of forein Banks in india – is it a bane or boon for consumers? etc. One can find plethora of topics for dissertaion on topics of banking & insurance.Good luck

        Reply
  49. Mukul Modi

    I had deposited a Cheque which had been received from Sr. Post Master, drawn on SBI into my Savings Account; during clearing process, the said instrument was returned by SBI with a remark i.e. “Stamp of Drawer official required” – while on the said cheque the official’s designation (Sr. Postmaster) is mentioned in printed form!
    Here, I need to know whether the Drawer Official’s Stamp is always required in Govt. Cheques (Post Office), even if the same is printed on the cheque?
    Kindly suggest,
    thanks,

    Reply
    • swaritkanch

      drawer of the cheque strictly is not the post master. it is only a designation or status of the official acting for the legal entirity. It is the government(Department of posts)that is the office or the legal entity. He is only representing such legal entity. thereofer the office seal of the particular post office of the place where such post office is situated is required. The contention of the bank is therefore correct, legal and valid.

      Reply
  50. Chandrasekhar

    It is possible to get stay order from DRT or High court for the legal proceedings initiated by the bank against you under Securitization Act, 2002.

    However you need a very good Advocate for it because it all depends on how much time the Advocate invests on the documents produced by you and how efficient he is in finding out the loopholes/drawbacks in the legal process initiated by the bank.

    If the bank has not followed the Enforcement of security interest Rules, 2002 properly (which many banks generally do not follow because of lack of knowledge), DRTs give off stay very easily to the borrowers. That way you can delay the legal proceedings till your property picks up good price in the market.

    Chandrasekhar
    (0) 92905 48743

    Reply
  51. v.veerapandian

    The borrower can be allowed to stay in the dwelling house till the issuance of sale certificate by the secured creditor.

    Reply
  52. shuvadip datta

    under securitisation act my mortgaged property to the bank going to take possetion by recovery agent soon . one vacant land value for rs. 6 lack aprox and one land with building for value rs. 60 lacks aprox.(according to bank valuer) where i stayed with my old mother and two children . bank dues almost 30 lack . recently my total project was failed due to non co-operation of bank time to time .and i m now pennyless . still i co-operate with bank all the time . In that situation i like to pray the bank for giving me oppurtunity to stay in my house with my old mother and children still sale proceed is complete by the bank . I am ready to undertake that i will vacate my possession with in 15 days after sale proceed is complete by the bank , and till that period my prayer to bank that in symphetical ground if they allow me to stay for that period along with sale the mortgadged amount not below the amount given by the bank valuer.

    my question is … is it possible by the bank to consider the case for staying in my house still sale procceed is completed ?

    Reply

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