I wrote this letter to SBI Card today. Has anyone faced a real life situation like this?
Dear Sir/Madam:
I am writing to you to seek a clarification regarding payment of outstandings on cards and thereafter seeking the BO Office clarification on interpretation
of the legal circular for the same. I have spoken to the customer care supervisor on phone and now elucidating the issue which has now risen posing a problem both for the bank and the customer. Please note that your response shall be used in the BO Office letter and you may take the help of supervisors and/or other teams at SBI Card.
Please note I am not using a real example but a hypothetical example in order to bring clarity to this issue regarding RBI circular and its interpretation:
My example is thus:
i) Rs. 10,000/- is mentioned as the total outstanding on my credit card bill with Statement date of 16/MM/YYYY with a due date of 05/MM+1/YYYY. (eg.
Statement of 16/01/2024 with a due date of 05/02/2024).
ii) I schedule a payment via NEFT with my bank on 16th itself to be made on 02/MM+1/YYYY. iii) I do not use the card in between.
iv) Before 02/MM+1/YYYY, a merchant issues a partial refund of Rs. 200 against product purchased.
v) Bank successfully carries out the NEFT instruction to transfer Rs 10,000 on 02/MM+1/YYYY to SBI.
vi) Due to the inteerpretation of outstanding as per RBI circular, SBI rejects the payment of Rs. 10,000 and sends it back to source. SBI Card systems will
only accept Rs. 9800/- as the payment and not a single paise more.
vii) The reversal is not noticed by me since payment return alerts are not
sent by any bank.
viii) On the next statement date of 16/M+1/YYYY, interest charges on the Rs. 9,800 with GST is levied. Credit bureuas are informed that I am a default.
Other banks increase then loan costs to me due to being a defaulter.
In the above example, I would like you to please:
(i) Confirm if the above is a plausible scenario
(ii) Please mention the relevant RBI Circular and clauses relied on for the interpretation that no amount in excess of outstanding shall be accepted.
