Canara Bank — old non- maintenance/dormant salary account changed to overdraft loan account with negative balance

kris_hari

from Mumbai, Maharashtra

Dec 6, 2018

Address: Kasaragod, Kerala, 671124

Summary:
my Canara bank savings account at Chennai Pallikaranai NIOT branch with account number[protected]opened: 26/04/2012) reported overdraft loan with negative balance rupees -225/-. This was my old salary account and last five years it's inactive (dormant). But two months before my ex-organisation made one wrong transaction to my account and as i informed about this transaction to ex-organisation financial officials, they approached branch manager and revert the amount. After this my dormant savings account went to negative and bank reported it's as overdraft loan account. Because of this my CIBIL score went low from 793 to 716. I already mailed one letter to branch manager regarding the negative balance with quoting RBI rule about non- maintenance dormant savings account.

Detailed Complaint:

I am Rohith Krishnan, an ex-employee of National Institute of Ocean Technology, under ministry of Earth science, Chennai had a salary account:[protected] at Canara bank Niot Branch till December 2012 .On December 2012 i resigned from NIOT and joined in new organisation.

So after 2012 my Canara bank NIOT account is inactive(dormant) and am not using that anymore. Also same that period my debit card also stuck in indian bank atm at Kasaragod, kerala and lost. That time i called to NIOT canara branch and informed the same to bank officials to take necessary action. After that, last 5 years i don't have any activity with this account.

But this year 2018 September 6th my account credited with rupees 6300/- from NIOT project account. I called to NIOT finance department and known that they wrongly credited. So the concerned staff who wrongly credited money requested me to revert the transaction. Because my account is inactive and I can't do transaction through my net banking also, I told that staff to approach bank manager. On 10th September 2018 you debit amount from account by mentioning wrongly credited.

After that transaction my account went to -223/- rupees, as overdraft account. Since am in Kerala and can't pay money to this account as it showing freezed. But this overdraft Very badly affected my CIBIL ratings and it went to low as 716 from 793.

PS:- As per on my search I found that as per RBI guidelines banks can't change a customer for non-maintenace on a dormant account.

Levy of penal charges on non-maintenance of minimum balances in savings bank accounts
RBI/2014-15/308
DBR.Dir.BC.No.47/13.03.00/2014-15

Annex:
(vi) It should be ensured that the balance in the savings account does not turn into negative balance solely on account of levy of charges for non-maintenance of minimum balance.

Mentioning all this facts, i had filed a dispute to CIBIL on 06/12/2018.And also mailed a complaint letter to concerned Canara Bank branch manager.

Contact:
Email ID: [protected]@gmail.com

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Canara Bank customer support has been notified about the posted complaint.

Dec 11, 2018

Updated by kris_hari Reply mail from Canara Bank NIOT campus, Chennai on 11/12/2018:

Dear Sir,

We regret for the inconvenience made to you. The charges collected from your account is for annual debit card charges for the period due til 06/07/2013 i.e[protected] where you were using the account. Last transaction date is 06/06/2013. Kindly transfer an amount of Rs 229.29/- which will help us in closing the account and Help you in your CIBIL Score.

With Regards
Canara bank
Niot Pallikaranai
[protected]

My reply to this mail on 11/12/2018:

Sir
I am accepting your observations regarding my account usage.
But my question is that i[censored] charged service charge for the year 2013-14, why account not went negative till the date of 10th September 2018?, why from the bank side i didn't got any message regarding the same amount of service charges till September 2018?, Why you didn't informed me before reverting wrongly deposited money from my account, so i can avoid this negative account balance. And my biggest worry is that, why you reported this amount /account as overdraft loan with 15% interest to CIBIL!!?, As of all you know it's a salary/savings account.
This actions questioned my financial credibility. Any way, as a responsible citizen and a believer of financial ethicality, am ready to pay back the service charge amount due to my account operations as you informed.But will forward this issue to CANARA BANK NODAL EXECUTIVES APPOINTED UNDER BANKING OMBUDSMAN,
Address:
SRI S HARIHARAN
DIVISIONAL MANAGER CANARA BANK CIRCLE OFFICE 524, ANNASALAI, TEYNAMPET CHENNAI- 600 018 [protected]@canarabank.com
[protected]

If the issue is not resolved there, will approach Banking Obdusman. Because you questioned my credibility. Today on 11th December 2018, I transferred rupees 235/- to my Canara Bank NIOT branch account and credit acknowledgement received. For your information acknowledgement message pasting here.
Message 1:
An amount of INR 235.00 has been CREDITED to your account XXXX0182 on 11/12/2018 .Avl Bal Rs 5.71

Message 2:
Your a/c no. XXXXXXXX3595 is debited for Rs.235.00 on 11-12-18 and a/c XXXXXXX182 credited (IMPS Ref no[protected]. Download YONO @ www.yonosbi.com.

Please do needful to Close my account in your branch and update CIBIL with correct credentials as soon as possible.

Thanks and Regards
Rohith Krishnan