Pvt bank fined for harassing man over credit card dues

Forum president M Mony and member R Baskarkumaravel who presided over the bench said, “Citibank and Professional Credit Services are jointly liable and to pay a sum of Rs 10,000 with the additional cost of Rs 10,000 to A Muthaiah.”

Muthaiah, the petitioner, submitted that he had a credit card with a limit of Rs 51,000, and added that the bank was not prompt in providing the account statements for months. After he requested for credit card settlement, the bank had issued settlement letter for a sum of Rs 50,000. He paid the amount in three cheques in 2009. But the bank contacted him again, stating that there was some balance pending and again issued a settlement letter claiming Rs 1,31,000 on January 13, 2010 and February 12, 2010, he alleged.

He alleged that the bank engaged goondas, who came to his house at night and threatened and abused him.

Countering this, the bank denied all the allegations and submitted that Muthaiah had misused the credit card and used the card against the terms and conditions. It claimed that he did not pay the settlement within the stipulated time. “The offer letter is only for 30 per cent of the total outstanding, which is Rs 1,29,465.85, and there is no deficiency in service,” the bank contended.