Inconsumercomplaints.com » Business & Finance » Review / complaint: Personal loan - Interest Calculation | News #486779

Personal loan
Interest Calculation

From

G Sridharan email add :- [email protected]

No . 23, 48 th Street,

Nanganallur

Chennai – 600 061

Tamilnadu

To

The Customer Care

Citi financial Consumer Finance India Ltd,

3, L S C PUSHP VIHAR,

NEWDELHI - 110062

Sub:- Personal loan –reg

Ref:- personal loan A/c no 15917406

I obtained personal loan of Rs. 1, 65, 000/ from Citi financial Nanganallur branch Chennai during May’2009. I have been remitting the repayment of Rs 6, 291/ regularly. When the loan was sanctioned I was told that interest @ 20.75 % will be charged flat. When I obtained the account repayment schedule after some time I am surprised to note that the interest is charged @ 20.75% flat but it calculate 33.60% in reducing balance. This position was not explained to me when I obtained the loan, if it was explained to me I would not have obtain this loan. When I read the agreement it is mentioned the rate of interest translate into 33.60% in reducing balance. Now I paid 12 installments and note that a little portion only taken to principle amount. I never expected that big financial institution would charge exorbitant rate of interest. When I approached the branch to remit some amount in bulk I was not allowed to pay bulk amount in the middle in order to reduce my interest burden. I have entered your financial services without ascertaining the depth of the loan repayment. I don’t know how I am going to complete the loan repayment since I am a single bread winner I feel that heavy burden of interest is levied on me. I have no other alternative but to pre close the loan by July. Hence I request my loan repayment may please be recasted with less interest rate and without charging for the pre closure.

Expecting a favourable reply in this regard

Yours faithfully

/ sd /

(G SRIDHARAN)

Place :- Chennai

Date :- 11.06.2010 I


Company: Personal loan

Country: India   State: Tamil Nadu

Category: Business & Finance

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