Date : 25/09/2009.
Ashok B. Mehta,
Ram Nivas, Near : ICICI Bank ATM
Rajkot : 9428275822 / 9974253480
Bank of India,
Re. Our Over Draft A/c. Nos. 310227110000008 / 03 / 02 with
Bank of India, Malaviya Road Branch, Rajkot Ė Gujarat.
Sub : Excess Interest charged than agreed.
We have deposited Fixed Deposited upto Rs. 13,28,000.00 in various family memberís name with the bank.
We enjoy over draft facility against the above FDRs.
Regarding our Over Draft facility we hereby clarify that we have been provided the overdraft facility at the interest rate 1% higher than our FDRs considering our group family fixed deposits.
We were using our over draft accounts regularly at the interest rate 1% higher than our FDRs till august-2009.
But on receipt of our account statements of July-2009 and August-2009, we were charged lumpsum heavy amount of interest. On approaching the bank, we are informed that, this is because, the auditors has disallowed the 1% facility and has recovered interest @ 2% difference from starting period itself. This is the problem with us that, if we are disallowed 1% difference, the bank cannot recover previous lumpsum difference with us. Bank has been charging us 1% difference interest rate since more than 3 years. And now bank says that it was its mistake and so they are now recovering the lumpsum interest amount from us. But the fact is that, no one either bank or we are making mistake. We have been allowed 1% interest rate difference by the bank from starting itself.
We would like to draw your kind attention that, there is no mistake in our account either from bank side or from our side in charging 1% difference interest rate because it was mutually agreed and also filled in the over draft opening form. manager has singned the documents. You are requested to please rectify our account opening forms. It is clearly mentioned to provide over draft at the interest rate higher 1% than the FDRs.
When it has been agreed by the bank and us mutually, why our account has been debited with difference interest amount lumpsum from starting itself ? bank has charged 1% difference interest rate till july-2009. Then why bank recovers interest from us from 2007 considering 1% more ?? Why the bank has effected our account with more interest after a long period of 2.5 years ?
You are requested to please reverse the excess interest charged in our account. You are also requested to refer the account opening form which is with our branch. It is written by the bank in the form that over draft to be given at 1% interest higher. Then why bank debits our account calculating 2% interest ?
We did approached our branch many a times and today 4:30 PM. We met personally to the branch manager Mr. Verma. He says the interest rate will be charged at 2% difference only because your account volume is small. We told him that whether our account is small or big, it has been agreed with the bank in the account opening form that bank will provide us overdraft at the interest rate 1% difference. But he says that it is not possible.
We just wonder, that it is possible for bank from 2.5 years and now it is impossible for the bank. The FDs are same. ODs are same. But why such debits now ???? why bank not obey the form filled by us and the agreement done with bank ? We have been told by the Branch manager that YOU CAN WITHDRAW YOUR FDS, bank is not at all interested in such smaller accounts ?
Actually the branch manager at the time of opening our account did promised us to allow overdraft at the difference interest rate of 1% and so we deposited our money with the bank. And now the prevailing manager has no interest in our accounts !!! we just wonder why ???
You are requested to consider the matter and do the needful at the earliest. We feel like being cheated by the bank because bank has promised us to provide over draft facility @ 1% difference. Bank also provided this facility for 2.5 years. But now bank has recovered all the interest fully starting from first month after one year and debited our accounts. We just cant understand where to go for justice ??? Branch Manager is irresponsive regarding reverse of excess interest.
Awaiting your prompt response.
Hoping to be replied favourably,
ASHOK B. MEHTA GROUP