Date of filing: 3-9-2016 Date of order : 2-11-2017
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM ::
KADAPA Y.S.R DISTRICT
PRESENT SRI V.C. GUNNAIAH, B.Com., M.L., PRESIDENT
SMT. K. SIREESHA, B.L., LADY MEMBER
Thursday, 2nd day of November, 2017
CONSUMER COMPLAINT No. 68 / 2016
A. Subbamma,
W/o G. Prakasham, aged 47 years,
No.26/469,Vasanthapeta,
PRODDATUR (post) -516 360.
Kadapa. … Complainant.
Vs.
- Manager, State Bank of India,
Mydukur Road, PRODDATUR-516 360.
-
- Chief Manager, State Bank of India,
Regional Business Office,
1/705, Dwaraka Nagar,
Kadapa-516 004. ….. Opposite Parties.
This complaint coming for final hearing on 26-10-2017 in the presence of Sri B. Raja Rao, Advocate for Complainant and Sri S.S.D. Rama Swamy, Advocate for Opposite parties no.1 & 2, and upon perusing the material papers on record, the Forum made the following:-
O R D E R
(Per Smt. K. Sireesha, Member),
- The complainant filed this complaint under section 12 of Consumer Protection Act, 1986 (for short herein after called as C.P. Act). The complainant had taken home loan for Rs.84,000/- on 30-6-2010 from State Bank of India, Town Branch, Proddatur under the name and style “EASY HL may 10 FLT”. As per the conditions interest rate fixed for 3 years and 4th year onwards floating rate as given below :
From 4th year onwards (from 30-6-2016) the bank started collecting higher interest rates. To lessen my home loan burden by converting from higher interest rate to lower interest rate as per S.B.I. norms the complaint paid 0.56% switchover fee (Rs.3778/-) for outstanding balance on 4-8-2014. The borrower who paid switch over fee must convert from higher interest rate to lower interest. The bank changed rate from 12.25% to 10.10%, so it must be changed to 10.10% converted from SBAR to BASE RATE system. The complainant consulted the bank manager i.e., 25-7-2016 to do justice. Again the complainant paid switch over fee of Rs.3,090/- to implement the reduced rates. During the period from 8-5-2015 to 20-7-2016 the bank was abnormally collected higher interest rates. The complainant sent written request to the bank manager on 20-7-2016, 1-8-2016, and 23-8-2016 but there was no action taken by the bank and collected more interest rate. The complainant approached the bank manager in the first week of August, 2015 and produced all necessary documents. But the bank manger kept the application aside. Hence this complaint. The complainant prays the Hon’ble Forum to direct the Manager to repay the excess amount interest collected Rs.14,318/-, 2) instruct the manager to do the correction in abnormal interests collected in past and present. 3) instruct the manager to pay the expenses of Rs.7,000/- which was used for documents. 4) instruct the manager to pay Rs.10,000/- towards expenses 5) instruct the manager to pay Rs.5,000/- towards mental agony and 6) give instructions to the SBI higher officials to take departmental action on the Manager , Town branch, Proddatur.
Counter filed by the respondent, the complaint is unjust, frivolous and not sustainable either in law or on facts of the case. The complainant is put strict proof of all the allegations which are expressly admitted herein. It is a fact that the complainant availed home loan for Rs.8,40,000/- on 30-6-2010. The complainant paid 0.56% switch over fee (Rs.3,778/-) into her home loan account on 4-8-2014 for converting higher rate interest to lower rate interest. As per the request of the complainant the interest has been reset on 4-8-2014 by collecting 0.56% switch over fee.
The S.B.I. has changed interest rate system from old SBI base rate to MCLR i.e., marginal cost of Funds Lending interest w.e.f. 1-4-2016 as per the new system interest rate changed. The respondent bank has reset the interest rate on 21-7-2016 to the prevailing rate i.e., Rs.9.35% from the excess charged i.e., 11.30%. The bank asked the complainant execute a fresh agreement letter and to pay 0.56% switch over fee of Rs.3090/- for reset of interest and further asked execute fresh arrangement letter upon reset in the interest rate. The complainant along with another person came to the bank and abused the manager in filthy language and they will execute arrangement letter only after refund of excess interest charged. The bank has no capacity to refund the excess interest and has to take permission from controlling authority. The branch manager informed the same to the higher authority. The branch manager informed the complainant that the bank would refund the excess interest after deducting the 0.56% switch over fee as the interest has been reset on 21-7-2016. The respondent bank has already adjusted the excess interest rate and file the calculation sheet adjusted to credit of home loan account of the complainant. The complainant herself requested the bank to return the papers submitted by her and accordingly bank has return the same. The respondent bank is not responsible or liable to refund for Rs.7,000/- to the complainant. As the interest was adjusted to the complainant accounts. There is no mental agony to the complainant and there is no deficiency of service on the part of the respondents. Hence, this complaint may be dismissed with exemplary costs.
Ex.A1 to A12 filed by the complainant. No documents are filed by the respondents.
From the above averments these points were taken for consideration;
Point no.1:- Whether the complainant is entitled to get excess rate of interest collected by the bank as prayed by him or not ?
Points No.2:- Whether there is deficiency of service or negligence on the part of the respondents or not ?
Point no.3:- To what relief ?
It is true complaint and counter stated that the complainant availed home loan from the respondent bank., As per the documents filed by the complainant on record it is very clear that there was variation of rate of interest for the loan availed by the complainant. Ex.A10 clearly shows that the respondent bank paid interest into the loan account of the complainant i.e., Rs.14,318/- which was the excess interest collected by the complainant and the same credited into the complainant’s loan account. So as seen from the documents on record it is very clear that the complainant excess rate of interest paid to the loan was credited into the complainants loan account. So there is no deficiency of service on the part of respondents.
In the result, the complaint is dismissed without costs.
Dictated to the Typist, transcribed by him, corrected and pronounced by us in the open forum, this the 2nd day of November, 2017
MEMBER PRESIDENT
APPENDIX OF EVIDENCE
Witnesses examined.
For Complainant: nil For Opposite party : nil
Exhibits marked on behalf of the Complainant :-
Ex: A1:- P/c of letter send to the Manager, SBI, Proddatur dt.20-7-2016 by Reg.
Post by From the complainant.
Ex: A2:- P/c of letter send to the Chief Manager, Regional Office, Kadapa,
dt.20-7-2016 by Reg. Post by the complainant.
Ex: A3:- P/c of reply letter received from the Manager, SBI, Proddatur, on
25-07-2016 personally by their messenger,
Ex: A4:- P/c of letter send to the Manager, SBI, Proddatur, on 01-08-2016 by reg.
post by the complainant.
Ex: A5:- P/c of letter send to the Regional Manager, Kadapa on 23-8-2016 by reg.
post by the complainant.
Ex: A6:- P/c of E-Circular of SBI, Corporate Office, Mumbai showing base rate at the
time when switched over, Dt. 22-03-2014.
Ex: A7:- P/c of (Historical data) of base rate.
Ex: A8:- P/c of Bank pass book of complainant which shows when I switched over
and fee paid dt,04-08-2014.
Ex: A9:- P/c of letter showing the SBI, Manager, Proddatur, forcing to pay fee second
time, Dt. 25-07-2016.
Ex: A10:- P/c of table showing interest amount paid back to me.
Ex: A11:- P/c of document memorandum of loan agreement of SBI, easy loan
dt.30-06-2010.
Ex: A12:- P/c of Arrangement letter- SBI, Easy home loan herewith filed Xerox copy
of documents dt.30-06-2010.
Exhibits marked on behalf of the Opposite parties: - nil
MEMBER PRESIDENT
Copy to :-
1) Sri B. Raja Rao, Advocate, kadapa
2) Sri S.S.D. Rama Swamy, Advocate, kadapa
P.R.
