From your post it appears that:
-Bank has been sitting on the loan application for 22 months, since the date of submission of loan application i.e. 09.90.2009.
-Your transactions with the bank have been verbal. These should have been in writing by letter, under acknowledgment.
-Now you have sent a written complaint to Nodal officer, to which you have not received a reply. The official at the position of Nodal officer in Govt. or Private establishments forwards the representations for a legal opinion and after the legal opinion sends a carefully worded reply to the complainant. So you can construe that the nodal officer either has decided not to reply or is awaiting legal opinion.
It is felt that you can submit a written representation to the chairman of the bank, mentioning date of each representation by the applicant in person on phone, in writing, and name and designation of the bank official who received the representation, and ask for the reply of the bank in writing alongwith bank rules/policies, RBI guidelines on student loan, and bank manual. You can see these on your own also at bank and RBI website and you can demand bank manual from BM of the bank. Bank is ought to make a proper note of heavy delay caused. Higher management of the bank has all the reasons to suspect foul play like coercion, corruption etc, and shall investigate, although they may not like to share their finding or make them public.
You must have the copy of your loan application. Bank is under obligation to supply free of cost, the certified copy of loan application alongwith supporting documents obtained by bank. You must apply for the same with BM in writing under acknowledgment.
Although delay has been caused, bank’s response seems to be somewhat right since only last year of the course is left. You must have managed the previous years with your resources. Have you taken loan from another bank? If yes what is the repayment history? Bank can ask you to update the loan application and shall conduct investigation as per their processes before granting any amount of loan.
Learned expert and member of LCI Mr. Parthasarathi Loganathan, has been helping the forum members with his clear knowledge and understanding of bank processes and systems.
Valuable advice of Mr. Parthasarthi and learned experts and members of LCI is sought.
