Bank froze savings account so Loan EMI missed

[rakesh3929]

I have a savings account with Central Bank of India. I have set up E-Mandate to auto-debit towards my Kotak Personal Loan for Dec 2 2024. On Dec 1 2024, my savings account was frozen citing KYC renewal which made my Personal Loan auto-debit miss. I contacted Central Bank, finished my video KYC and paid my Personal Loan manually on Dec 4 2024. Kotak Bank customer service said they will charge me with bounce charges. Will this impact my CIBIL? My CIBIL is 723 only. If my CIBIL is not going to be affected, I am okay. I have the Central Bank branch manager email and his contact if necessary.

Kindly advice on how should I proceed with this issue? Note - Central Bank never sent any remainder email to me to renew my KYC status. It's been 10 years or more now with Central Bank Savings account.

 

[Anupama_Jha]

PSU banks generally don't sends reminders for Re-kyc. In CBI, u always have to perform re-kyc after every 10 yrs.

Prefer SBI for e-mandate transactions.

You can email kotak to waive bounce charges as one-time gesture.

 

[rakesh3929]

PSU banks generally don't sends reminders for Re-kyc. In CBI, u always have to perform re-kyc after every 10 yrs.

Prefer SBI for e-mandate transactions.

You can email kotak to waive bounce charges as one-time gesture.

Okay I will email Kotak requesting them to waive the charges. But will this have any impact on my CIBIL?

 

[Anupama_Jha]

Okay I will email Kotak requesting them to waive the charges. But will this have any impact on my CIBIL?

I guess no. 3 days is the grace period

 

[rakesh3929]

I guess no. 3 days is the grace period

Thanks. How can I verify if it has affected my CIBIL or not? Will follow up and update.

 

[harshgupta940]

Thanks. How can I verify if it has affected my CIBIL or not? Will follow up and update.

You would need to check yourself by fetching CIBIL on any App. Also banks do send an email if they mark late payment or something on CIBIL. Also most probably as its this month's emi it's status will be reflected by next month on CIBIL

 

[rakesh3929]

You would need to check yourself by fetching CIBIL on any App. Also banks do send an email if they mark late payment or something on CIBIL. Also most probably as its this month's emi it's status will be reflected by next month on CIBIL

Got it. I usually check via GPay. If I understand it right, apart from the bounce charges that Kotak will levy on me, if i get an email from Kotak that the December EMI is marked as late then it has affected my CIBIL.

Also, like you said, I will wait till next month to fetch the report and check. Let’s say, it affects my CIBIL. Can i raise a dispute later and resolve or will it be too late?

 

[harshgupta940]

Got it. I usually check via GPay. If I understand it right, apart from the bounce charges that Kotak will levy on me, if i get an email from Kotak that the December EMI is marked as late then it has affected my CIBIL.

Also, like you said, I will wait till next month to fetch the report and check. Let’s say, it affects my CIBIL. Can i raise a dispute later and resolve or will it be too late?

Yes you can, if the issue is not resolved at bank level you can complaint on RBI Ombudsman complaining against both CBI & Kotak

I also had an encounter with some blunder by bank but it wasn't between multiple banks but you can have a quick read here.

 

[rakesh3929]

Yes you can, if the issue is not resolved at bank level you can complaint on RBI Ombudsman complaining against both CBI & Kotak

I also had an encounter with some blunder by bank but it wasn't between multiple banks but you can have a quick read here.

Got it. Thanks. Read your post. Thanks for the insight.