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SBI to pay Rs 2 lakh to Delhi man for sending bills despite credit card’s expiry; know what happened

SBI sent the complainant a letter in September informing him that his card had been cancelled, yet it still sent bills.

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A Delhi district consumer forum has ordered SBI Cards and Payment Services to pay a theft amount to a man who received bills despite having his credit card cancelled. 

The SBI cards and Payment Services will pay Rs 2 lakh to the person for sending him bills even after his card's expiry and blacklisting him for non-payment of the charges. 

Monika A. Srivastava, the president of the New Delhi District Consumer Disputes Redressal Forum, and members Kiran Kausal and Umesh Kumar Tyagi ordered the business to pay M. J. Anthony, a former journalist for "deficiency in providing services." 

According to the forum, the company had blacklisted him in the Reserve Bank of India's CIBIL database of willful defaulters, which led to the denial of his requests for credit cards from another bank with which he held regular accounts for almost 20 years.

"This Commission is of the view that the SBI Cards & Payments Services Pvt. Ltd. has been deficient in providing services to the complainant and though the damage/loss occasioned to the complainant in terms of credit rating cannot be measured in terms of money yet punitive damage ought to be awarded against OP (opposite party) therefore, OP is directed to compensate the complainant by paying a sum of ₹2 lakh as compensation within two months from the date of this order failing which the sum payable would be ₹3 lakh," the forum said.

(Also Read: Mukesh Jagtiani, billionaire owner of Landmark Group, passes away at 70 in UAE)

On May 20, the forum issued a ruling regarding Anthony's claim for compensation. He asserted that he had asked the business to remove his card in April 2016, a long time before it was set to expire, and not to renew it, according to PTI. 

After April 9, 2016, he claimed to have stopped using the card and destroyed it in accordance with the regulations. “No payment was due at that time on the card."

The company sent the complainant a letter in September informing him that his card had been cancelled, but despite his protest emails, the corporation continued to send bills for the card, he claimed.

According to PTI sources, he said, the bills totalled Rs. 2,946 as of May 18, 2017, including late payment fees and penalties. In the same letter, he claimed the business had informed him that failure to pay the debt would negatively affect his credit history as kept by the credit bureau and might make it more difficult to obtain future credit.

He was additionally denied credit or loans because of the company's blacklisting in the RBI's CIBIL database of willful defaulters. Throughout the argument, the firm refuted the accusations.

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