[Resolved]  Ge Money — Charging me Bounce charges though I paid the EMI on due date.

Rigy Jacob
Varambath house
Iringole PO Kuruppampady
Perumbavoor.
Kerala.

Dear Sir / Madam,

I have taken a personal loan for Rs.25,033.00 (RPKO[protected] from GE money on January 2009. After the processing charges etc I received Rs. 22,274.00 as cheque bearing the number 149864 dated 16.01.2008. I had chosen the EMI payment by ECS from my salary SB A/c with icici Bank Edapally ( Cochin ) branch.

Since the company, where I worked wound up by the middle of May 08, icici bank demanded me to make my salary A/c to normal SB A/c by keeping Rs. 10,000.00 as monthly minimum balance. It was not affordable to me. So I Opted not to use the icici A/c and I have informed the same at GE money Cochin branch on the third week of
November 08 itself. GE money Cochin branch asked me to replace the already
given cheque leaves with another bank's if I wish to change the bank.
GE money did not accept the other banks cheque leaves since they were not MICR Cheque.
Then they told me, to pay by cash at the collection agencey office on the third week of every month.

For the first one or two months (December 08 and January 09). I paid the EMI as cash at the collection office by the third week as GE money advised me. In the middle of January 09, when I talked with a collection agent through the phone he advised me to pay on or before the due date (7TH of every month) if I am paying by cash. Then onwards I have been paying all EMI by cash on the first week of every month.

On this month I wished to close this loan account and contacted the Cochin office for the same. They said I have to pay Nearly 21,000.00 Rs to close this account. This really shocked me. They made the reason that I have to pay the Cheque bounce charges of Rs.7500.00 and penalties.

I don’t understand, Why did not the GE money inform me about this bounce charges earlier when I talked about paying EMI as Cash, or even when one or two cheque got bounced?

Even though I paid the EMI before the due date, Why did GE money charge me the bounce charges and penalties?

I request you to let me know the actual closing amount that I have to pay excluding the bounce charges and penalties.

I am not willing to pay any bounce charges and penalties due the following reasons.

1. I have made the EMI payments by cash at the collection agency office with out any fall, as per the instruction from GE money and I have the receipt for all of them.
2. GE money Cochin office misguided me to pay the EMI by cash on the third week of every month. (two weeks after the due date)
3. Even though my cheques were bouncing continuously, GE money did not inform me about the bounce charges or penalties until I approached GE money to talk about the closing of my loan account.
4. I have paid all the EMI on or before the due date, still GE money sent the cheque for clearance.
5. While I called GE money customer care (IVRS) on the 3rd December 09, GE money told my outstanding loan amount as Rs.7500.00

In view of the above statements and facts, I request you to let me know my actual loan closing amount at the earliest.

Thanking you
Yours truly

Rigy Jacob.


NB: This is the copy of the E-Mail I sent to GE money on today