Pranjal Baruah (Assistant Manager (Finance & Accounts)) 25 March 2018

Fraudulanent credit card transaction-customer liability

I became a victim of fraudulent credit card transaction 4 months back.I blocked the card within an hour of coming to know of the incident and filed a written intimation to the customer care department of SBI credit card.As per the directive issued by the RBI on "Customer Protection – Limiting Liability of Customers in Unauthorized Electronic Banking Transactions" In cases where the loss is due to negligence by a customer, such as where he has shared the payment credentials, the customer will bear the entire loss until he reports the unauthorized transaction to the bank. As I informed the bank the same day of the incident kindly update if I'm liable to pay the disputed amount.

Reply Follow

3 Replies

R.Ramachandran (Advocate) 25 March 2018

Even according to you, as per RBI Guidelines "the customer will bear the entire loss until he reports the unauthorized transaction to the bank."

You have reported the fraud. Till such time you are responsible.

If any further fraud has ttaken place after your reporting, then the bank may be responsible.

Kumar Doab (FIN) 25 March 2018

As the language itself is clear…until……..

Had you not reported and blocked the Card any other transaction would also have become your burden…

Also read ‘IN cases………’ as in your query..

Establish that you as CC holder were not negligent…

Lodge police complaint also under proper acknowledgment..

Kumar Doab (FIN) 25 March 2018

The CC company(ies) are known to declare the inquiry was conducted and customer was provided with 3D password/PIN/OTP………and CC company is not at fault..

Preferably approach your own very able senior LOCAL counsel(s) of unshakable repute and integrity specializing in consumer/cyber crime matters and having successful track record …and worth his/her salt…

Your counsel can help with interim order leading to injunction to report you as defaulter/charge penultimate interests/late payment charges and relief if possible in your case..establsihing that you were not negligent