• Abroad credit card defaulter

Hi, i was working UAE for more than 7 years and i used credit card from one particular bank, due my family medical emergency i returned to India and became a defaulter now. the collection agency has contact me with a settlement proposal. The amount and term to pay which they quoted is way to high for me. I have found a job in a call center and earning with a salary below 28oooINR.  My questions are follows

What are limits do collection agency have when it comes to collection terms (as they harass me stating that he can remove me from my current job)

As i issued a security cheque in UAE and cheque bounce is a criminal case in UAE; Will they be able to issue any arrest warrant on me in india (collection agency also stated that they can arrest me here and send me back to dubai for my trials)

when i requested them provided them my payment method and amount which i can pay and proposed a settlement plan they rejected and threatning me that i will not be given a choice to chose my settlement method. (when i dont have money to pay, how do they expect me to pay so much)

They try to send me SMS and Calls with abusive language and also talking to me in a very unpleasing manner. do i have right to report this to police and file a case on them

Even though am requesting to consider my sistutaion they say that they will send rowdies to my house and trash me if i dont pay them what  they ask.

I need some one advice on this so that i can be strong and bold to them.

Am ready to pay and am not hiding. i would like to know my rights with reagards to this collections.

please provide me an answer

Jesudas.
Asked 2 years ago in Civil Law from Chennai, Tamil Nadu
Dear Credit Card Defaulter,

Normally you have understand the process of Credit Card Charges. Once you default in payment, the Credit Card Issuer levies service charges and late payment surcharges which goes on increasing.

1. You do not have to pay the Service Charges or Late Payment Surcharges. Ask them to waive them off and which is entirely possible in a settlement case

2. Secondly, give them an appointment and tell them to bring all the details of your spending on the said credit card (Each and every detail of your spending), i.e., the actual amount that you had spent. You only need to pay the amount that you have actually spent. Every other charges can be waived off in a settlement (The Credit Card issuer will say that they do not have details and will also say things left and right to pressurize you to pay whatever they demand, they will even hurt your ego and self respect, please do not be perturbed by that and insist on actual expenditure details that you have actually made – they have all the details but will try to hide)

3. Once you know what is you actual spending, subtract the amount that you have already paid (But remember that you calculate the actual spending from the day you defaulted not from beginning) and pay the rest (You opt for instalments and they will give... be rigid on your statements.... they can do nothing)

4. Credit Card Issuers cannot do anything as per Supreme Court Orders. All they will do is to hurt your ego and self respect and try to get their demand from you.

5. As far as usage of abusive language is concerned, you can file police complaints against them. You can also file police complaint for the threatening you receive from them (Record the conversations and do not use any kind of abusive words yourself)

6. They cannot do anything and they have to agree to your terms and conditions. Be Strong. Collection Agencies have no right to do anything.

7. Last but not the least, the above processes are valid in India and I do not know if the card that was issued was from an Indian Bank or a Foreign Bank in Dubai. If it latter, the above might not help but if the credit card issuer is an Indian Bank with an address in India, the above process will work.

8. You can also install true caller on your mobile and block calls from these credit card collection agency to avoid embarrassment at your office.

Hope the above helps.
Sidharth Das
Advocate, Kolkata
21 Answers
1 Consultations
5.0 on 5.0
1) you have not mentioned when was last payment made by you ? 

2) has period of 3 years passed since last payment was made? 

3) if so claim of bank would be barred by limitation . 

3) in case you receive abusive calls record the telephonic conversations 

4) lodge police complaints against the callers
Ajay Sethi
Advocate, Mumbai
23290 Answers
1219 Consultations
5.0 on 5.0
1. To remedy abuse by bank officials file a police complaint or issue a lawyer's notice to bank. If there is any outstanding amount then bank can bring legal action against you recovery thereof but it cannot resort to harassing the debtor. The bank official who sanctions sending goons to your house can be arrested and imprisoned.

2. If the case is filed and you do not appear to contest it then a warrant of arrest may be issued by court. Do not ignore any summons by court. 

3. What was the duration of payment? How many installments have been paid by you? A criminal case is independent of the period within which bank could have filed a law suit to recover money from you.
Ashish Davessar
Advocate, Jaipur
18158 Answers
449 Consultations
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