• Credit card suit filed and write off status in CIBIL report

Hi,

I had a credit card with reputed nationalized bank in India. Today i see My CIBIL report stating that "SuitFiled and WrittenOff status" for XYZ Bank credit card. 
I am ready to follow all the steps of legal law. I don't want to damage my CIBIL score. Kindly suggest a solution to my problem. 

Details are as follows:

1. In 2013 i availed loan for around 1.8 lakhs and converted into 24 EMI's. After that i decided not to use credit card and asked bank to block the card accordingly bank blocked the card and not issued any new card. 

2. I paid EMI's regularly and in the mean time i got a job in abroad and traveled to abroad

3. From abroad also i paid 23 EMI's with in the time , i paid many EMI's in advance.

4. In Jan-2015 i verified credit card statement balance details are below. 

In Jan-2015:
	 Total Amount due is -10,000.70 ( minus ten thousand eighty three), minus indicates i paid more than due amount
		Total outstanding : 300.00 ( from these 2 it is clear that total loan paid)

5. Here i misunderstood the statement and assumed that i paid more than due amount and called to customer care, customer care representative also told that i paid more than due amount since it s a blocked card this account is going to close automatically.

6. today(Mar-31-2017) i got a cibil report and i was shocked that this credit-card account is showing "Suit Filed and Written off status", then i opened all my pass statements and understood that for not paying 
300 Rs XYZ bank added penalties and sent letters to my email to pay nearly 6000Rs.

7. Since i re-located to Abroad and i was not staying in the address mentioned in credit card account i am not aware of this infirmation

8. As per my knowledge i can't trust bank because i paid 23 EMI's regularly with in the time and
 24th emi also paid in advance , Since 24th emi 2500Rs paid in advance 300 Rs outstanding balance remained.

9. For 300 Rs outstanding balance XYZ bank added more than 1000Rs as penalty contineously for 5 months and finally they sent my account details to CIBIL.

10. Couple of postings suggested pay full due and getrid off the SuiteFilled-WriteOff status from CIBIL. I am ready to pay due amount but i feel Bank is not 100% right because
 a. for outstanding due of 300 Rs out-of 1,80,000/- bank killed my next 10 years future
 b. Paid 23 EMI's in time, 24th EMI also paid 90% in in-time. 

11. I am ready to pay this due amount also but i want to bring this situation towards the court of law and will pay this as per the court guidelines

Kindly assist me.
Asked 7 years ago in Civil Law

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7 Answers

1) litigation is long drawn process process and expensive proposition

2) you will end up paying more money on legal fees than in recovery of excess amount charged by bank

3) better pay dues claimed by bank

4) get rid of write off status from CIBIL

5) since you did not pay due amount of Rs 300 bank must have sent intimation at your address mentioned in your communication with the bank

6) you ought to have checked your email regularly

7) bank can recover penalties on non payment of balance amount as per your credit card usage agreement with the bank

Ajay Sethi
Advocate, Mumbai
95217 Answers
7612 Consultations

5.0 on 5.0

1. It is your duty to take note of and respond to all the communications sent by the bank. If you had relocated abroad you should have informed the bank.

2. Now write to the bank and offer to pay the outstanding amount with penalty computed and request that the delayed payment entry be removed. If the bank does not remove it then a suit for mandatory injunction against the bank will be the only remedy.

3. Before filing the civil suit serve a lawyer's notice to the bank.

4. We cannot predict the fee that your lawyer will charge.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

1) legal fees for drafting and filing , various court dates would be more than Rs 50,000

2) if you lose the case you will have to pay bank dues as claimed by the bank

3)you would get chance to argue your case

4) court would pass orders based on evidence on record

5) if you win the case your dues would be waived off

Ajay Sethi
Advocate, Mumbai
95217 Answers
7612 Consultations

5.0 on 5.0

1. Bank authorities do not report the matter to CIBIL. CIBIL is given the access to the server of the member Bank wherein statement of accounts of all the Borrowers are kept.

2. Your statement of accounts stated that there vis a balance in your account to be paid for which the Bank has charged penalty as per their rule.

3. The bank has ear marked your account for filing suit and since the due is less than the amount to be paid for filing and continuing the court case, they have written off.

4. You should approach the said Bank and request them to reopen your account for receiving payment of your outstanding dues as on the date of payment.

5. Once you pay off your dues, the Bank statement will show that you have paid off your dues which will be accordingly reflected in your CIBIL score.

Krishna Kishore Ganguly
Advocate, Kolkata
27245 Answers
726 Consultations

5.0 on 5.0

1. Your only problem is to convince the Bank authorities to reopen your written off account.

2. Once you can reopen your said account by approaching the Bank's senior level personnel, your job is over.

3. As stated in my earlier post, Bank does not give any report to CIBIL. it gives CIBIL access to the Bank's server from where CIBIL corrects statement of accounts of all its Borrowers and reflect the same in their web site. CIBIL has the parameter for scoring the accounts based on the statement of accounts collected from the member Bank's server.

4. I find that there is no deficiency in service and unfair business practice detected on the part of your Bank for taking them to Consumer Forum. You can file a complaint case but it may not yield your desired result.

5. Bank has never denied that you have paid 23 EMIs and most of the dues but you can not deny that there was still some outstanding left to be paid by you which you did not which resulted in to their writing off the debt and the consequential adverse CIBIL score.

6. Approach the higher level offiicials of the Bank for reopening your account to pay the dues, if possible.

Krishna Kishore Ganguly
Advocate, Kolkata
27245 Answers
726 Consultations

5.0 on 5.0

I am ready to pay this due amount also but i want to bring this situation towards the court of law and will pay this as per the court guidelines

The unpaid Rs. 300/- developed into the massive 6000 over period of time.

This is as per the conditions agreed by you.

You cannot claim the verbal assurances given by some staff in those days.

You may not be able to file a suit in the court since you are at fault.

Your presumptions do not have any anser in law, you should have cleared them that time itself.

Now also you can pay that amount and get your cibil reports straightened.

T Kalaiselvan
Advocate, Vellore
85420 Answers
2239 Consultations

5.0 on 5.0

I am ready to pay due amount with fines to Bank, though i pay the full amount with fines Bank won't revert back CIBIL entries, Hardly Bank will change the status from WriteOff to closed but Delayed Payment entry ( DPD ) won't remove, since they already sent writeoff this account DPD's will stay in CIBIL for next 10 years. Any how i won't get bank loans for next 10 years.

If you are worried about the said situation, then you may make a representation to the bank authority with your option to clear the entire dues agaisnt you in return they have to oblige with rectifying their report to cibil about this

By reviewing credit card statements court may give some guidelines to bank for corrections according to RBI guidelines ?

The court may not even entertain your case if it is found that the nonpayment of the dues are your mistake.

Therefore instead of stretching the things you can look for some way to get the relief of not being in the cibil's adverse circle in the future..

T Kalaiselvan
Advocate, Vellore
85420 Answers
2239 Consultations

5.0 on 5.0

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