DATE OF FILING :20/12/16 

IN THE CONSUMER DISPUTES  REDRESSAL FORUM, IDUKKI

Dated this the 30th day of May 2018

Present :

SRI. S. GOPAKUMAR PRESIDENT

           SRI. BENNY. K. MEMBER

CC NO. 358/16

Between

Complainant       : Siby Jacob,

                                                                           Ozhackal House,

                                                                           Nedumkandam,

                                                                           Idukki 

        (By Adv: Eby Thomas)

And

Opposite Party                                          :   The Branch Manager,

                                                                         Maheendra and Finance,

                                                                         Kattappana Branch.

 

O R D E R

  SRI. BENNY. K.  (MEMBER)

 

The case  of the complainant is that,  

 

The complainant is the Registered Owner of the Maruthi Alto 800 bearing Registration No. KL -69-3717, he had availed a HP Loan of Rs.4,34,880/- from the opposite party  and had agreed to repay the amount in 60 monthly instalment, of Rs.7,320/- each.

 

The complainant has paid Rs.131760/- in 18 monthly instalment regularly.  But the opposite party  had been collecting huge amount as overdue.  Due to unforeseen  reason complainant could not remit the balance 11 instalments in time.  The only outstanding amount is Rs.80520/- but the opposite party has demanded Rs.1,93,000/- for closing the loan.  The complainant approached before this Forum for getting regularise his and exclude the penal and hidden charges.

 

In the written version opposite party admitted that the complainant had availed a loan for purchasing the vehicle KL-69-3717.  Opposite party had denied the demand of Rs.1,93,000/- and submitted that the complainant is agreed to pay 36% interest for the defaulted payment.  This  opposite  party  is

                                                                                                                           (Cont....2)

-2-

 

claiming the amount which they are legally entitled, the interest rate was specifically stated in the loan agreement.

 

        The point that arose for consideration is whether there is any deficiency in service from the part of opposite parties, and if so, for what relief the complainant is entitled to ?

 

The evidence consist of  only documentary, Ext.P1 and Ext.P2 were marked from the side of the complainant.

                                                                                                              

The Point:- The complainant had availed a loan of Rs.4,34,880/- from the opposite party to purchase a vehicle Registration No.KL-69-3717.  He had agreed to repay the loan amount in 60 monthly instalments of Rs.7,320/- each.  The complainant has paid Rs.1,31,760/- in 18 monthly instalments regularly Ext.P2, but the opposite party had been collecting huge amount as over due.  Due to financial  crisis complainant could not remit the balance  11 instalment in time.  The only outstanding amount is Rs.80520/- but the opposite party had demanded Rs.1,93,000/- for closing the loan. Hence complainant  approached before this Forum for regularise the loan account.

 

In the written version opposite party had admitted the loan amount  and denied the demand of Rs.1,93,000/-.  In the agreement complainant agreed to pay 36% interest for the defaulted payment.   This opposite party is claiming only the amount which they are legally entitled.  The interest rate was specifically stated in the loan agreement.

 

The opposite party has no contention against the loan amount and the instalment repayment.  Opposite party stated that the complainant was a chronic defaulter.  The only dispute is regarding the default charges, but the complainant is agreed to pay the default charges for the delayed payments.  The opposite party has not produced any authentic documents from RBI or Government to show that they can charge 36% interest as default charge  it is illegal and unjust.  Hence  we fix an interest of 12% per annum for the defaulted instalment for the defaulted period.

 

                                                                                                                           (Cont....3)

 

-3-

 

Hence petition partly allowed, the opposite party is directed to regularising the loan account of the complainant's vehicle by charging only 12% per annum for the defaulted instalments for the defaulted period and order to return all documents collected as security for the loan.  Complainant is  also directed pay the balance instalment as per new statement with 11 equally instalments, failing which  opposite party can  initiate appropriate steps against the complainant.  

 

     Pronounced in the Open Forum on this the 30th  day of May, 2018.

 

 

                                                                                     SRI. BENNY. K.  (MEMBER)

 

 

                                                                        SRI. S. GOPAKUMAR (PRESIDENT)                                                                                                                                                                                                                                                                 

 

APPENDIX

 

Depositions :

On the side of the Complainant :

Nil

On the side of the Opposite Party :

Nil

Exhibits :

On the side of the Complainant :

Ext.P1            - Copy of Certificate of Registration

Ext.P2            - Copy of Statement of Account

On the side of the Opposite Party :

Nil.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Forwarded by Order,

 

 

 

 

SENIOR SUPERINTENDENT