Consumer Court Chandigarh held SBI cards guilty for deficiency of service

INTRODCUTION

The District Consumer Disputes Redressal Commission-II, U.T. Chandigarh recently ruled against SBI Cards & Payment Services Pvt. Ltd. in a case involving wrongful reporting to CIBIL

FACTS AND BACKGROUND

In this matter, the consumer had fully settled their credit card dues through a full and final settlement agreement. The company issued a 'No Dues' certificate' or acknowledgement confirming the account was cleared.

Despite this settlement, the company failed to update the consumer's credit status properly with CIBIL. Years later, the consumer began receiving harassing calls demanding payment for an alleged outstanding amount. Upon checking their CIBIL report, the individual discovered they were still marked as a defaulter or had a negative entry due to the outdated/unresolved reporting.

The consumer filed a complaint alleging deficiency in service and unfair trade practice under the Consumer Protection Act.

OBSERVATIONS

The Commission, held SBI Cards & Payment Services Pvt. Ltd. guilty on both counts. Key reasoning included:

- Once a full and final settlement is accepted and the account is closed, the lender is obligated to report the account as "closed" or settled appropriately to credit bureaus like CIBIL, without retaining a defaulter tag.

- Continuing to report the consumer as a defaulter after settlement constitutes a serious lapse.

- This error can severely impact the consumer's creditworthiness, blocking access to future loans, credit cards, housing finance, vehicle loans, job opportunities, or even visa processing.

The forum directed SBI Cards to:

- Immediately ensure the removal of the complainant's name from the CIBIL defaulter list if not already corrected.

- Pay compensation for harassment, mental agony, and litigation expenses.

CONCLUSION

This ruling aligns with broader consumer protection principles in India: Banks and financial institutions must promptly update credit information post-settlement, and failure to do so can lead to liability for deficiency in service.

Comments

MARRIAGE REGISTRATION PROCESS IN DELHI

Hello friends today we shall talk about the procedure for registration of marriage in Delhi. ELIGIBILITY The marriage must have been solemnized either under the Hindu Marriage Act or under the Special Marriage Act, The Groom must have attained the minimum age of 21 years. The bride must be of the age of 18 years at least. DOCUMENTS REQUIRED Photo ID proofs of both the parties like Aadhar card / PAN card / Voter card Date of birth proofs of both parties like 10 th certificate, etc. Permanent address proof must be there . Marriage photographs and Invitation Card. Passport Size Photographs of both parties. 2 witness in case marriage registered under Hindu Marriage Act or 3 witnesses in case it is registered under the Special Marriage Act along with their respective proofs like PAN CARD/ AADHAR CARD etc. An affidavit from both parties certifying the date of their marriage and more specifically stating that the marriage has not been performed between pers...

BENGALURU CONSUMER COURT IMPOSES PENALTY ON FLIPKART

RECENTLY BENGALURU DISTRICT CONSUMER FORUM DIRECTED ONLINE MERCHANT FLIPKART TO REFUND AN ANOUNT OF RS. 13,999/- ALONGWITH COMPENSATION OF RS. 10,000/- TO A 80-YEAR OLD FOR CAUSING MENTAL AGONY. BRIEF FACTS An 80 -Year Old Consumer ordered a treadmill on the online site of Opposite Party Flipkart. In compliance the treadmill was delivered to the consumer. At the time of installation of the product, it was revealed by the technician that the treadmill is faulty. On coming to know that the consumer returned the product to Flipkart and sought replacement. Initially Flipkart failed to replace the product but in some time, the replaced product was delivered to consumer, however, despite requests they failed to send the technician. When consumer tried to fix the same on its own, it was found that the product was of some other company. In other words, it was not the same product which has been initially ordered by the consumer. With no resolution, the consumer was left with no other option bu...

KERALA HIGH COURT BARS ENTRY OF 10 YEAR GIRL FROM ENTERING SABARIMALA TEMPLE

RECENTLY KERALA HIGH COURT DISMISSED WRIT PETITION FILED UNDER ARTICLE 226 OF CONSTITUTION FILED BY FATHER ON BEHALF OF HIS 10- YEAR OLD GIRL FOR SEEKING AN ORDER TO ENTER SABARIMALA TEMPLE. THE SAME IS DISMISSED IN LIGHT OF REVIEW PENDING ON THE SAID ISSUE BEFORE THE LARGER BENCH OF THE APEX COURT. BRIEF FACTS 10 year old girl filed a writ petition before the Kerala HIgh Court seeking relief of mandamus seeking directions to Travancore Devaswom Board to allow her to offer pilgrimage to Sabarimala Temple without taking into account the restrictions of age since she has not attained puberty or in the alternative to allow the request of the minor on sympathetic grounds. It is contended by the Petitioner that they are planning to visit the temple since long and it has been delayed due to onset of Covid earlier. Now, the family is under distress and also the father of Petitioner is not in good health. Hence, they have applied the same online but since in the meanwhile the age of Petit...

WakeelSaab.in

Search This Blog