IndiaBulls — unjustified and unreasonable increase in roi from 9.5% to 12.4%

Address:

Hisar, Haryana, 125001

I am ca ramniwas agarwal from hisar (Haryana). I had availed loan against property from ivl finance limited and my loan account number is hilahis00423973 from branch sco -149, gf, red square market, hissar -125001

On 14 june i got welcome letter from indiabulls on my mail id [protected]@gmail.com regarding my loan account in which it was mentioned that rate of interest is 9.5% and total installments would be 180 in number and first installment would be debited on 5th may 2018 which was already debited before 14th june (I. E. Issue of welcome letter on my e-mail). I did not get any documents from indiabulls regarding my loan account earlier on my postal address or email id either.

On 15 june, i got email that my ivl finance limited that my interest rate on loan has been increased by 0.20% with effect from 1st june, 2018 from 9.9% to 10.1%.in it was mentioned that my loan installments has been increased from 190 to 196. I was wondering that how one day earlier i got welcome letter in which it was mentioned that my total loan installments are 180 and roi is 9.5% and the next day i. E. 15th june my roi was 9.9% which has been increased to 10.10% and my number of loan installments has been increased from 190 to 196. That means i did not get any information regarding increase in number of installments from 180 to 190 and increase in roi from 9.5% to 9.9%.

Now, to my utter surprise and disappointment, i got email from indiabulls on 9th october that my interest rate has been increased by 2% with effect from 1st october 2018 making it around 11.4% which is not as per market rates and norms. And it was stated in it that amount of monthly installment would remain same and no. Of installments would increase accordingly. I was shocked and depressed to witness such high increase in rate of interest as it would deeply affect me financially and mentally. I contacted officials of concerned branch from where i had availed loan they straight away refused that your roi would not be restored to original or you can foreclose your loan and pay foreclosure charges at 5% per annum on outstanding principal.

Then i requested for sanction letter and repayment schedule through email dated november 13. Then i got my sanction letter and repayment schedule for the very first time on 14th nov on my email. I was shocked to see the number of installments which was 180 in welcome letter has been increased to 248.

Then, i made complaint through email mode to [protected]@indiabulls.com regarding the unjustified increase in rate of interest on nov 13 and i was allotted a query number sr=[protected]. Then i got reply from them on nov 16 regarding my complaint that rate of interest has been changed as per loan agreement duly executed and signed by you. I agree that rate of interest can be changed as per agreement but it should be fluctuated within reasonable limits as per interest rates prevailing in the market regulated by rbi. They nowhere mentioned in their email that we are increasing your rate as rbi increased rate of interest. A customer will feel cheated and helpless if loan provider is increasing rate of interest by 2% within 6 months of sanction of loan without considering the economical and mental effect it would make on person who has availed loan.

I have also made request for agreement to indiabulls through concerned branch officials and on email to [protected]@ indiabulls.com on nov 18 but still i did not get agreement till date.

Now, i made request for foreclosure of my loan to indiabulls on 18th november through email they are providing me foreclosure letter (Dated 22nd nov) on 29th november after making several requests on email and phone to concerned branch officials.in foreclosure letter, they have mentioned my total liability till 25 nov is rs. 14, 795, 302.24 which is more than amount financed by them in april 2018 i. E. 14, 066, 727.00 after making 7 monthly installments from may to november regularly. And does it take more than 10 days to indiabulls to provide foreclosure letter to their customer.

Now, crossing all the limits of humanity and bear ability, i am getting email on 29th november from indiabulls that further 1% more has been increased in your loan account with effect from 1st november making my rate of interest to 12.4%. Which law or rule allow these so called nbfc’s to communicate to the customer at end of month that rate of interest has been increased with effect from starting of the month.
I am really feeling that indiabulls has cheated me and trapped me in its vicious cycle to the maximum extent as 3% increase in rate of interest within 7 months of sanctioning of loan is not fair & reasonable at any cost without considering the rate of interest prevailing in the market. The trust i shown on indiabulls while choosing it for my loan application has been completely destroyed by indiabulls as 3% increase in rate of interest from original roi is not small increase. It completely affects the person decision to rely on which bank to choose while making loan application. I think indiabulls is considering itself superior to reserve bank of india as it is not adhering to the guidelines issued by reserve bank of india to safeguard the interests and rights of consumers who are availing loan. Why a customer should suffer due to internal policies of the company. I am really realizing that we are not living in democratic country as nbfcs are looting customers on the name of agreements. That means they can increase my rate of interest to 20% then to 30% in future in the name of agreement if they would not be regulated by regulatory authorities on time. These types of malpractices should be stopped immediately so that faith of people is restored in banks/nbfcs.

Some issues regarding loan which should be considered by your kind honor:

1) how can a company increase 3% rate of interest within time frame of 7 months of sanction of loan deeply affecting person’s mental stability and financial position. After 2% increase my rate of interest became 11.4% and monthly installments increased from 180 to 248.
Additional amount pertaining to increase in 68 monthly installments would be rs. 99, 88, 452 (68*146889). And now 1% more has been increased thereby making my roi to 12.4%. I have not asked for repayment schedule. I think it would be around 280-290 installments at present. Who would bear and is responsible for this additional 1.5 crore approx. That i have to pay on account o[censored]njustified and unreasonable increase in rate of interest by india bulls?

2) the amount they are asking on the name of foreclosure of loan is around 5% on outstanding principal i. E. Around 7-8 lakhs. Why should i bear this heavy penalty without incurring any fault from my side?

3) information regarding loan should be communicated by post on timely basis as sometimes mails are not accessed by person availing loan as all people in india do not access emails on regular basis. If you will go through my repayment schedule first month my roi was 9.5% p. A. Then, second month, it was 9.90%. I did not get any information about this increase anywhere as mentioned above too. Then in 3rd month it increased to 10.10% for which i got information vide email date 15th june 2018. Then in 5th month roi is 10.40% for which i did not get any communication on my email either.
It is a good strategy to loot innocent people as most people do not access their email on regular basis and they will wonder why their loan is still running they do not know that nbfcs like indiabulls are increasing roi without their knowledge.

4) i did not get any sanction letter or any other document in hand or on my postal address from india bulls. Is there no liability on these nbfcs to provide documents to their customer by their own so that customers can know the terms and conditions of sanction of loan?

5) rs. 885 has been debited on 24 october 2018 by indiabulls. I don’t know why they have debited this amount in my account despite i am paying their monthly installments regularly and on time.

6) their toll free number is never reachable i. E.[protected]. I have tried multiple times on difference days but i am not able to contact customer care representatives. They should be questioned for unprofessional behavior with their customers.

Considering unjustified and unreasonable actions by indiabulls again & again i would request you that my loan account should be closed in indiabulls without payment of any foreclosure charges as i am closing loan not because of my mistake but because o[censored]nreasonable means applied by indiabulls to loot innocent people on the name of agreement. I would not request that roi should be restored to original because who would believe on indiabulls that they would not increase roi after some days on the name of agreement. I want to get rid of this tension at one shot. My family is also tensed and depressed due to these acts. People go to banks/nbfcs for relieving their tension but these type of actions increases their tension.

I have come to your kind honor with expectations of getting justice. Further i am ready to provide any information as required by your kind honor. All the information i have intimated you is correct to my knowledge and belief. I am attaching all the documents provided by them till now along with correspondence with them attached herewith complaint in order.