I am sharing my experience so that others understand how banks handle credit card closures, LTF commitments, and CIBIL reporting, and how useful the RBI Ombudsman process can be when things go wrong.
My first case was with Axis Bank. I had requested closure of my credit card long back. The card disappeared from the app, so I assumed it was closed. Only when my SBI loan application was rejected for overleveraging did I realise something was wrong. When I checked my CIBIL report, the Axis card still appeared as active, and there were more Axis cards listed in CIBIL than I had ever owned. I didn’t approach the bank directly as the case was very old and instead filed my complaint on the RBI CMS portal.
Once the complaint reached the Ombudsman, Axis Bank started calling frequently. Every time a new person was assigned and the story kept changing. One of them said the closure didn’t happen because there was an extra balance, but that still doesn’t explain why the card wasn’t visible in the app and yet remained active in CIBIL. Initially, they offered me a random compensation of 20K . I declined. Later, they accepted that wrong reporting continued for 552 days and credited me 55k at the rate of 100 per day, which is the standard compensation for incorrect reporting. But they still haven’t provided any evidence of when the card was actually closed. As per RBI rules, delayed closure after a customer request attracts 500 per day, and my card was clearly not closed in the banking ecosystem. I also asked for compensation for mental stress caused by the loan rejection and delays. At one point they said they would consider it, but later they refused and asked me to send an acknowledgment, which I declined because the main issue is still pending. Let’s see how it goes…
The second case is with IndusInd Bank. I had applied for the Pioneer Heritage Metal card as lifetime free promise by bank manager on opening pioneer account . Later, they charged me fees even though the commitment was clear. I followed with branch multiple times later closed the card after a year . I again filed an RBI complaint . The branch manager tried to help and fully cooperated, but he was helpless because the final decision came from the head office, which refused to honour the LTF promise. After the RBI complaint, the bank called and said they were ready to refund the full amount including GST ( they will credit in my account and report the case to RBI ) , but I declined because the issue is about the commitment, not just the refund. I will wait to see how this case progresses.
The third case is about ICICI bank where I had requested closure of 4 cards ( 3 LTF Sapphire cards and AMAZONPAY ) . They closed only one card immediately (AMAZONPAY )after my email and left the remaining three active. They even asked me to reconsider keeping those cards. I sent two reminders but the closures were still delayed. I have filed a complaint and I am expecting compensation of five hundred rupees per day per card for the delay.
Across all these cases, one thing is clear. Banks take closure requests lightly, they don’t always update CIBIL correctly, and LTF commitments are sometimes not honoured unless you push through the right channels. Most customers don’t check their CIBIL reports regularly or follow up on closure proofs, which allows these issues to go unnoticed.
If my experiences help others become more aware of their rights and the importance of following up on closures, CIBIL entries and LTF commitments, then sharing this was worth it.
My first case was with Axis Bank. I had requested closure of my credit card long back. The card disappeared from the app, so I assumed it was closed. Only when my SBI loan application was rejected for overleveraging did I realise something was wrong. When I checked my CIBIL report, the Axis card still appeared as active, and there were more Axis cards listed in CIBIL than I had ever owned. I didn’t approach the bank directly as the case was very old and instead filed my complaint on the RBI CMS portal.
Once the complaint reached the Ombudsman, Axis Bank started calling frequently. Every time a new person was assigned and the story kept changing. One of them said the closure didn’t happen because there was an extra balance, but that still doesn’t explain why the card wasn’t visible in the app and yet remained active in CIBIL. Initially, they offered me a random compensation of 20K . I declined. Later, they accepted that wrong reporting continued for 552 days and credited me 55k at the rate of 100 per day, which is the standard compensation for incorrect reporting. But they still haven’t provided any evidence of when the card was actually closed. As per RBI rules, delayed closure after a customer request attracts 500 per day, and my card was clearly not closed in the banking ecosystem. I also asked for compensation for mental stress caused by the loan rejection and delays. At one point they said they would consider it, but later they refused and asked me to send an acknowledgment, which I declined because the main issue is still pending. Let’s see how it goes…
The second case is with IndusInd Bank. I had applied for the Pioneer Heritage Metal card as lifetime free promise by bank manager on opening pioneer account . Later, they charged me fees even though the commitment was clear. I followed with branch multiple times later closed the card after a year . I again filed an RBI complaint . The branch manager tried to help and fully cooperated, but he was helpless because the final decision came from the head office, which refused to honour the LTF promise. After the RBI complaint, the bank called and said they were ready to refund the full amount including GST ( they will credit in my account and report the case to RBI ) , but I declined because the issue is about the commitment, not just the refund. I will wait to see how this case progresses.
The third case is about ICICI bank where I had requested closure of 4 cards ( 3 LTF Sapphire cards and AMAZONPAY ) . They closed only one card immediately (AMAZONPAY )after my email and left the remaining three active. They even asked me to reconsider keeping those cards. I sent two reminders but the closures were still delayed. I have filed a complaint and I am expecting compensation of five hundred rupees per day per card for the delay.
Across all these cases, one thing is clear. Banks take closure requests lightly, they don’t always update CIBIL correctly, and LTF commitments are sometimes not honoured unless you push through the right channels. Most customers don’t check their CIBIL reports regularly or follow up on closure proofs, which allows these issues to go unnoticed.
If my experiences help others become more aware of their rights and the importance of following up on closures, CIBIL entries and LTF commitments, then sharing this was worth it.
