Mis-selling Credit Cards Is the New Normal

[cardio_guy]

This post has shown up in my feed at the very appropriate time. I am just talking to an RM for opening an hdfc bank account and I am going through all the 3 point highlighted above. 4th one alone (ULIP) has not happened yet.
RM had told to open account with 5L cheque and promised for Regalia Gold LTF. What a coincidence!

Another way they told is open an FD for minimum 4L and above. You till get regalia gold for 90% of FD value. Only thing is that it will be lien marked to your FD. So basically you cannot close the FD alone. It is tied to the card.

 

[newinnov]

@TechnoFino dada make a thread on confusing and deliberately deceptional language, used by banks now a days too..
e.g. - 'Check eligibility for pre-approved offer', pre-qualified, provisionally-Preapproved etc .<- HDFC

 

[theXfactor]

Infinia issued against ULIPs - I'm wondering what happens to the card once the ULIP policy gets expired or is foreclosed by the cardholder. Does bank close the card upon policy closure or let the cardholder keep it on an LTF or paid basis?

 

[Hell_Kitty]

Infinia issued against ULIPs - I'm wondering what happens to the card once the ULIP policy gets expired or is foreclosed by the cardholder. Does bank close the card upon policy closure or let the cardholder keep it on an LTF or paid basis?

Banks (HDFC) in this case can't close CC when policy is expired/matured or foreclosed. Because if they do close the card they are admitting infront of everyone that they sold policies for other benefits(issuing cards in this case).So mostly they will end up fined by IRDAI and RBI.

If its foreclosed bank will anyway make money by deducting hefty charges and customer will lose most of the money if they do within 5 years. Also w.r.t maturity/expiry its a very long period typically >10Y but most people opt for >=20Y. So by then there may be other cards making Infinia lose it charm.

 

[ontherocks]

Infinia issued against ULIPs - I'm wondering what happens to the card once the ULIP policy gets expired or is foreclosed by the cardholder. Does bank close the card upon policy closure or let the cardholder keep it on an LTF or paid basis?

The card has nothing to do with the ULIP. Its just to milk you. Close the ULIP or whatever, the card will not be closed.

 

[Tonymathew]

Recently I've had 2 such encounters

1) Applied for an Elite+ LTF from yes, approved with higher card RESERV, paid. Got the card, won't activate the card, will keep it in my card collection only (something should come out of a wasted cibil enquiry)

2) approached idfc BM as well as RM for select account. when approached they said it would be instantly raised for select account, once I deposit 3 lakhs. It's been weeks.. they say it will be raised soon.

Problem 1 solved by raising concern with RBI ombudsman.

Post here https://www.technofino.in/community...d-yes-bank-credit-card-a-success-story.33385/

Problem 2, partially solved, when I mentioned about RBI ombudsman. They came after me, and helped me with finest of details.

RBI ombudsman - the unsung hero

 

[theXfactor]

Banks (HDFC) in this case can't close CC when policy is expired/matured or foreclosed. Because if they do close the card they are admitting infront of everyone that they sold policies for other benefits(issuing cards in this case).So mostly they will end up fined by IRDAI and RBI.

If its foreclosed bank will anyway make money by deducting hefty charges and customer will lose most of the money if they do within 5 years. Also w.r.t maturity/expiry its a very long period typically >10Y but most people opt for >=20Y. So by then there may be other cards making Infinia lose it charm.

We may not have any real example here but what I was trying to understand how does HDFC work out card pricing post ULIP. What I could infer is that they would let the cardholder keep it for no price (LTF) as they would already made money out of the cardholder via ULIP. Any one who would have discontinued ULIP can answer.

 

[NamanGupta]

We may not have any real example here but what I was trying to understand how does HDFC work out card pricing post ULIP. What I could infer is that they would let the cardholder keep it for no price (LTF) as they would already made money out of the cardholder via ULIP. Any one who would have discontinued ULIP can answer.

In some cases they promise LTF but actually it's not LTF , when the customer gets charged & calls them that I was told my card is LTF then why I am charged.

Then with such a casual behavior the RM says I will get it reversed don't worry

Recently happed with my friend in HDFC

 

[tachniki]

FM to banks on selling insurances. https://www.moneycontrol.com/news/b...rance-and-focus-on-core-banking-12870261.html

 

[theXfactor]

In some cases they promise LTF but actually it's not LTF , when the customer gets charged & calls them that I was told my card is LTF then why I am charged.

Then with such a casual behavior the RM says I will get it reversed don't worry

Recently happed with my friend in HDFC

Does the fee get reversed actually? 🙂

 

[Pradumya]

One day you will be hired by a leading bank as customer service chief of staff.

Then the bank will try to get all the info on loopholes discussed in this forum.

 

[Avinash.Mishra]

I have had two such encounters

1. Amex sold me Plat Travel with promise of no joining fees and renewal fees waiver if used properly without any emi or missed payments and he gave me his visiting card and told me that he will be my RM and on his visiting card his designation was mentioned as Senior RM, I faced lot of issues in getting the card for some reason Bluedart was not delivering the card in my office or my home stating that they are not allowed in the premises and they were not calling me aur raising gate entry request after lot back and forth and re-issuing card 4 times finally i got the card and the next morning i got hit with joining fees. I contacted CS they told me there's no such criteria and there's no RM for Plat travel only Plat Charge and Centurion holders get a RM. Even though i knew about the joining fees/annual fees and i fell for this trap because Amex sales team came to my office and they were Amex employees and told me that this some corporate offer for my company.

2. HDFC asked me to transfer my relationship from ICICI for Infinia and after months of follow up i was told that they can't issue Infinia to me based on NRV because after recent change in eligibility criteria they have stopped the process of issuing Infinia based on NRV.BM told me that he has taken CH approval and showed me email. He also tried to sell me ULIPs and other useless investments i didn't agree for those, he told me that you have to give bank something to get something i told him that i have already given lot of business and i have fulfilled my commitment as per initial discussion and i don't mind giving more bussiness but i won't buy any stupid product that i don't need.