Regarding Bounce of ECS on my personal loan
Querist :
Anonymous
(Querist) 09 April 2010
This query is : Resolved
Date :- 9th April, 2010.
Dear Sir,
I have taken personal loan for Rs.99,000/- on May, 2007 from Citi Bank and I have paid 33 EMI regularly through ECS system still Feb, 2010. Due to some financial problem I am not able to pay 2 EMI for the month of March & April, 2010 and EMI of Mar has bounced and I have closed my Saving Account due to non maintaining of Quarterly Average Balance. I would like to ask you in this case what is the action would take by the bank for bounce of ECS.
Awaiting for reply.
K.Radhakrishnan
Parthasarathi Loganathan
(Expert) 09 April 2010
It all depends upon the Terms and Conditions of sanction of loan. However, you should have never closed the SB account which is linked for loan recovery through ECS arrangement. You have committed a Breach of Trust.
mahendrakumar
(Expert) 10 April 2010
what other option was left him than closing his account?
had he not kept the minimum balance,the bank would have charged penalties and in the process,the account would have terminated automatically.
Raj Kumar Makkad
(Expert) 10 April 2010
Even then it was not wise to close the account as it can invite more trouble.
Anyhow talk to th bank officials and apprise them your condition and seek their guidance. Keeping in view your good track record, bank can provide you some more time to repay your loan amount. No bank wants to take legal remedy within such short period against the erring loanee whose otherwise record is good like you.
bhagwat patil
(Expert) 10 April 2010
Go to BCSBI site this is branch of RBI for code of conduct of banks. for private banks and credit card special dept. is there for help. contact immidiatly
Parthasarathi Loganathan
(Expert) 10 April 2010
If the author had remitted 33 instalments to his loan account, what prevents him to approach the bank to get his loan rescheduled amicably without complicating the issues.
