Source:
www.ndtvprofit.com
TLDR:
In 2008, the National Consumer Disputes Redressal Commission had ruled that banks cannot charge interest rates over and above 30% from credit card holders that fail to make their payments in due time. Today, the Supreme Court set aside this NCDRC order. The top court’s ruling essentially means that there is no bar on banks from charging interest rates above 30%, and the same will not count as an unfair trade practice.
Supreme Court Strikes Down 30% Interest Rate Cap On Late Credit Card Payments
The top court has put an end to a 16-year-old litigation involving banks such as Standard Chartered Bank, Citibank, American Express, and Shanghai Bank.
TLDR:
In 2008, the National Consumer Disputes Redressal Commission had ruled that banks cannot charge interest rates over and above 30% from credit card holders that fail to make their payments in due time. Today, the Supreme Court set aside this NCDRC order. The top court’s ruling essentially means that there is no bar on banks from charging interest rates above 30%, and the same will not count as an unfair trade practice.
