RBL Bank is perfectly within its right to freeze the account, if you or your friends breached the stated rules. It is clearly mentioned in the online T&C what the restrictions are and what happens. Did you or your friends break these rules? Or was it something different?
Before opening any account you should make it a point to read the FAQ & TnC, particularly the ones opened via Aadhaar OTP
Please read this:
https://abacus.rblbank.com/DigiAqui/#/welcome
In particular, these 3 sections
Are there any specific limitations/restrictions linked to my account opened with Aadhaar OTP?
As per guidelines, following are the key checks linked with accounts opened with Aadhaar OTP
Aggregate balance in your accounts (including fixed deposits) to be within Rs.100,000/-
Total amount of credit in a financial year to be within Rs.200,000/-
We recommend to complete your In-Person Verification within 6 months from the date of account opening. Your account will be closed, if In-Person Verification is not completed within one year
What happens to my account if the limitations / restrictions for usage of digital savings account are breached?
If the balance in the digital savings account exceeds Rs.1 lakh or cumulative credit values exceed Rs.2 lakh in a financial year or In-person verification is not completed within one year of account being opened, the bank reserves the right to put the account on a total freeze, till such time that customer completes the full KYC process
If I complete my full KYC, will the restrictions of Rs total balance of Rs 1 lac & total cumulative credits of Rs 2 lac will still be applicable?
No, once you complete your full KYC these restrictions are withdrawn. You can enjoy an extended account balance of more than Rs 1 lakh cumulative deposit of more than 2 lakhs in a financial year.
Also, please read this:
12.Notwithstanding any other provisions contained herein, the Bank reserves the right to place a debit freeze / total
freeze / mark lien on the Account(s) or close/suspend the use of the Account(s) at the absolute discretion of the
Bank, with or without notice to the Customer. Cause of action may include but not be limited to any discrepancies,
inaccuracies in the information submitted by the Customer or/and any false / representation made by the
Customer with reference to such Account (s). The Bank may also undertake action pursuant to any observations
arising out of regular monitoring of Account(s) by the Bank and/or any issues arising at the time of document
Copyright© RBL Bank Ltd.
verification. The Bank may at its sole discretion take suitable action if Bank is of the opinion that continuation of
services is prejudicial to its interest. The Bank may also seek additional information and/or KYC and/or other
documents from the Customer at any point of time and Customer shall comply with such requests failing which
the Bank may exercise of any of the rights provided under this provision. The Customer acknowledges and agrees
that Bank shall not be made liable for any consequences arising out of such debit freeze / total freeze / lien
marking or suspension/closure of the Account(s)/Services.
13. In case of account being put under freeze the Customer agrees that principal amount on such deposits kept along
with the interest accrued (if any) will be payable to him/her as per applicable RBI guidelines and in accordance
with Bank’s internal policies. In case of any lien marked on the Account, the closure proceeds will be payable
only once the lien is removed.
