[Resolved]  HDFC Bank Limited — Return of processing fee for non sanction of loan

Madam/ Sir,
I have been customer of HDFC bank since last one year. Because of its service and professionalism, bank has gained trust in my mind.
1. Due to this trust, my parents thought about applying for a home lone take over to HDFC Bank. They have purchased a flat in February 2016 and because of paucity of time they arranged loan from local housing financial corporation. As they approached to HDFC they found that HDFC was offering lesser interest rate hence they applied to HDFC to take over the loan from local financial corporation. My mother applied for loan through file no[protected], at Kolhapur, Maharashtra .

2. For this loan process they came into contact with the HDFC representative at Jaysingpur Mr.Urane and his senior at Kolhapur Branch Mr. Abhjeet Mane. Both had assured my parents that interest rate will be around 9.60%. As my mother’s salary was not regular because of her transfer, we were skeptical about the passing of the loan hence parents asked about what would happen to loan processing fee then both representatives categorically replied that it will be given back if loan is not passed. Because of their categorical assurance, my father released a cheque of Rs.17525 (cheque no 626506 State bank of India) for HDFC limited on 05February 2016 which was deposited in the account of HDFC Limited on 07 March 2016.

3. As it was difficult to pass the loan, HDFC representative Mrs. Manasi Kumbharkar at Kolhapur branch suggested us to reduction in loan amount so that loan would be easily passed at higher level. Hence my parents reduced their demand of loan and again waited for the loan sanction. But this time they got another jolt as Mrs. Manasi Kumbarkar and Mr. Abhijeet Mane told us that interest rate would be around 11.10% which was not accepted to us hence we rejected HDFC loan and demanded back processing fee.


4. After repeated visits, phone contacts and pleadings, my parents got check of Rs.5870/- on 01 August 2016, which was lesser than the amount paid i.e. Rs.17525/-
This whole issue has caused deep mistrust about your bank in my family. You must take a cognizance of following facts.
• Your representatives had told fictitious interest rate and even they assured us about the passing of the loan which has not happened.
• Based on distorted facts, they collected processing fee assuring passing of loan.
• Their assurance of returning back of the processing fee was not fulfilled as returning amount is not matching with their assurance.
• If the loan was not passed then why did they collect processing fee cheque?
• Even deduction of processing fee was not communicated to us by phone, email or any correspondence.
• Returning of processing fee has happened after almost 6 months of collection of fee which shows that it was held at HDFC without any proper authority.
• All this issue has caused deep mental agony and efforts on my parents without their any mistake.
Due to this issue, I am also thinking about termination of my banking relations with HDFC family. I think that I was misinformed about the international best practices of HDFC bank and what I found that is worst than the nationalized bank. I positively hope about your urgent intervention and rectification of matter as early as possible otherwise I have to move my case to consumer court so that my parent would get justice for their effort and money.
Regards