AXIS BANK / HOME LOAN - FLOATING RATE
WRONG CALCULATION OF INTEREST, CHARGING EXCESS INTEREST RATE AND MORE

THIS HAS REFERENCE TO MR SYED IMTIAZ AHMED [VP, MORTGAGES], MR PRASAD LELE [MGR, RETAIL BANKING] AND OTHERS OF AXIS BANK

THIS HAS REFERENCE TO THE BANK'S LETTER IN RESPONSE TO OUR QUERIES AND INQUIRES!

AT THE OUTSET I MUST SAY - THAT THE BANK'S RESPONSE, COMING AFTER OVER A YEAR AND A HALF - SURE COMES ACROSS AS VERY SHODDY, PATHETIC AND SAD!!

(A) THE BANK'S RESPONSE TO THE MRR - THAT WE HAVE SIGNED IT - YES, WE AGREE. BUT THAT WAS NEVER THE ISSUE - WE HAD CLEARLY SPELT OUT THAT THE ISSUE WAS THAT WHEN WE ASKED IF THE RATES CAN BE REDUCED OR ALTERNATELY THE MRR MARGIN CAN BE INCREASED - WE WERE TOLD THAT THAT IS NOT POSSIBLE - WHILE IN OUR SUBSEQUENT MEETINGS IT WAS VERY AMPLY CONVEYED THAT THE VALUE OF RATE BELOW MRR VARIES FROM CUSTOMER TO CUSTOMER - & THIS NOT TOLD AT THE TIME OF DISBURSING THE LOAN - WE CONSIDER THIS AS INFORMATION BEING WITHHELD, A WAY TO CHEAT THE CUSTOMER!! MR PRASAD LELE WOULD REMEMBER OUR THE DISCUSSION HE HAD AND HE MENTIONED THAT 3% BELOW MRR IS OFFERED TO CUSTOMERS WHOSE LOAN AMOUNT IS LESS THEN 70% OF THE COST - WELL THEN OUR LOAN AMOUNT WORKS OUT TO BE 59% OF THE COST AT THE TIME OF PURCHASE - THIS I WAS TOLD WAS BECAUSE OF THE RISK FACTOR - SO WHY THE DISPARITY IN WE BEING OFFERED 2.75 % BELOW MRR???

(B) FURTHER, THE BANK HAD VERY CLEARLY TOLD US THAT THE RATES WOULD BE KEPT AND MAINTAINED IN CONSONANCE WITH THE MARKET RATES AND SO, WOULD BE THE SAME AS THAT OFFERED TO A NEW CUSTOMER - AND RIGHTLY SO WHEN THE RATES WERE INCREASED - OUR RATES WERE ALSO INCREASED IN TANDEM WITH THE NEW CUSTOMERS - HOWEVER WHEN THE RATES DROPPED - THE SAME WAS NOT FOLLOWED - WHY???

(C) INTEREST IS BEING WRONGLY CALCULATED BY THE BANK. WE HAVE CALCULATED THE INTEREST AS PER THE WAY TOLD BY THE BANK AT PUNE AND THERE HAS BEEN AN UNEXPLAINED DIFFERENCE WHICH REMAINS UN-ANSWERED BY THE BANK EVEN AFTER A YEAR AND A HALF.

(D) THE ISSUE OF LEAP YEAR REMAINS IN DOLDRUMS - THE LETTER OF SANCTION MENTIONS THE RATE OF INTEREST AS 9.5% pa - THEN IT IS NOT UNDERSTOOD AS TO WHY IN A LEAP YEAR AM I CHARGED FOR ONE EXTRA DAY - COZ, PER ANNUM MEANS - WHAT EVER THE YEAR IT IS - WHETHER A LEAP YEAR OR NOT - YEAR IS A YEAR!!

(E) AND THE BANK HAS THE CHEEK AND THE AUDACITY TO TELL ME AFTER ONE AND A HALF YEAR THAT THE BANK WOULD RETURN / AMEND THE WRONG ROUNDING OFF OF INTEREST - IF I TELL THEM!!! DOES THE BANK NOT HAVE MY ACCOUNT DETAILS WITH THEM TO CHECK WHERE THEY HAVE DONE - " INTENTIONAL WRONG ROUNDING OFF!! " - I SAY SO BECAUSE THE SYSTEM HAS BEEN SO PROGRAMMED TO DO THAT AND MANISH GUPTA, BANK RAC I/C EVEN TRIED TO BULLSHIT ME BY SAYING THAT IT WAS RBI POLICY - I AM SURE MANISH REMEMBERS!! THIS IS MORE SO EVIDENT BECAUSE IT TOOK THE BANK MORE THEN 18 MONTHS TO AGREE TO OUR CONTENTION OF ROUNDING OFF!

(F) IT AMAZES ME AS TO HOW THESE BANK PEOPLE CAN LOOSE THEIR OWN CONSCIENCE AND SPEAK / WRITE LIKE THAT - DOES WORKING IN THE CORPORATE WORLD MEAN THAT THEY HAVE NO COURAGE OF CONVICTION AND BE ABLE TO DIFFERENTIATE BETWEEN THE RIGHT AND THE WRONG AT ALL! WHERE HAS THE ETHICS OF HONEST BANKING GONE OR ARE WE LIVING IN THE WORLD OF SHYLOCK SEEKING A POUND OF FLESH??? (OF SHAKESPEARE'S MERCHANT OF VENICE FAME)

AT THE END, I WOULD ONCE AGAIN REITERATE THAT ITS NOT ABOUT A FEW BUCKS FOR ROUNDING OFF OR INCORRECT CALCULATION FOR A LEAP YEAR OR STRANGE CALCULATION OF INTEREST TO ONE INDIVIDUAL LIKE ME & IT IS ABOUT THE BANK INTENTIONALLY HAVING A SYSTEM ON COMPUTERS DESIGNED TO CHEAT NAIVE AND UNASSUMING CUSTOMERS AMOUNTING TO CRORES OF ILLEGITIMATE WEALTH TO THE BANK.

MR TIGGA OF THE BANKERS' OMBUDSMAN MUMBAI HAS ALSO BEEN IN THE LOOP FOR QUITE A WHILE NOW BUT NO CORRECTIVE ACTION HAS BEEN FORTHCOMING FROM THERE TO RESOLVE THE ISSUES. IS IT BECAUSE THE BANKERS' OMBUDSMAN IS TAKING PLAYING FAVOURITES, AS OF NOW IT APPEARS SO SINCE THEY ARE NOT COMMITTING/ RESPONDING.

PEOPLE PLEASE BEWARE WHILST TAKING A HOME LOAN ESPECIALLY FROM AXIS BANK

- CHECK THE MARKET RATE OF INTEREST AND THE RATE OFFERED TO YOU

- TAKE EVERY THING IN WRITING

- CHECK THE METHOD OF CALCULATING OF INTEREST

ASK FOR WORKING BY GIVING EXAMPLES

- ASK THE SILLIEST QUESTION - REMEMBER U ARE AT LOSS IF U DO NOT CHECK THOROUGHLY - EVEN SILLY QUESTIONS LIKE HOW IS ROUNDING OFF DONE OR HOW IS INTEREST CALCULATED IN A LEAP YEAR OR HOW WOULD THE FLOATING RATE OF INTEREST WORK AND WOULD THEY KEEP IT SAME FOR EXISTING CUSTOMERS AS FOR THE NEW CUSTOMERS - REMEMBER THE RATE OF INTEREST APPLICABLE VARIES FROM CUSTOMER TO CUSTOMER - TRY AND GET THE BEST POSSIBLE FROM THE BANK - IF THE BANK TELLS YOU IT IS FIXED - THEY ARE LYING - AS THEY DID TO ME - THIS IS HOW BANKS DUPE US!! - IF U NEED HELP MAIL ME - I HAVE SUFFERED AT THE HANDS OF AXIS BANK AND DONT WANT OTHERS TO SUFFER!

mustafamoose@yahoo.com

JAGO GRAHAK JAGO

Company: AXIS BANK / HOME LOAN - FLOATING RATE
Country: India

  <     >