Kotak Mahindra Bank — Education Loan taken for Kotak PO made Personal Loan

neha.varshney

Address:	110092
Website:	www.kotak.com/j1001mp/netapp/MainPage.jsp

I was enrolled in Kotak PO for PGDBRM course in 2013 for that Kotak offered a loan of Rs. 3, 50, 000 which I have taken considering it to be education loan. However, they converted the education loan taken for that course into a personal loan amount. Due to this interest rate was increased compared to education loan. The scheme was that EMI's will be deducted from my salary after joining the bank and course completion in 2014. Every month Rs. 9350 was deducted from my salary account in Kotak Mahindra Bank. Trouble started when I had constantly asked Bank Managers to change my sales profile and transfer my branch. I could not continue sales profile and daily commuting of 1 hr due to health issue. But they didn't pay heed to my concerned. They made me report to HR department in Jun, 2015 after many mails. I went to HR department at Connaught Place, Delhi Office for continuously one month. However, HR was also not supportive towards my concerns. I stopped reporting to HR from August 2015 due to bad health. They terminated my service in September, 2015. As my salary stopped coming, I faced financial crisis to pay the EMI's. I payed EMI properly till Dec 2015 but after that I couldn't pay the EMI's timely due to financial crunch. Meanwhile, I had asked Kotak for the foreclosure of the Loan account by doing some settlement. They never provided the settlement amount and kept on charging interest, late payment charges etc. I somehow managed to pay EMI' s till August, 2016 and after that I stopped paying them. I have sent many mails for the settlement of this loan asking them to waive off interest and allow only principal due. They never provided that and every time assigned a new loan officer for my account. In November, 2016 I received a court notice from Kotak to show myself at District Judge in Chennai. This was after I was constantly in touch with loan officer for the settlement. Loan officer asked me to pay 3 month EMI together and he will provided the final amount after that. But again the loan officer was changed and I have to explain the whole situation to the new person. Meanwhile they also encashed the security deposit cheque provided during Loan disbursement and debited 3 months EMI from it also in November, 2016. So altogether I had payed 6 months EMI together. They never stopped charging interest charges, late payement fees etc during this time. So, the total charges accumulated to be around Rs. 11400 /- I have asked new loan officer to provide the settlement amount due to my financial situation. He could just waive off the above charges as the final settlement. Kotak loan dept is the worst department among all the department. At one time I am in constantly touch with loan officer for settlement, the other time I am getting court notice to show myself in Chennai. I am very stressed due to all these. First of all I dont have any income and secondly Kotak is handling the settlement in very unprofessional way. I dont know what can be done here?

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Kotak Mahindra Bank customer support has been notified about the posted complaint.

Jan 13, 2017

Updated by neha.varshney I was enrolled in Kotak PO for PGDBRM course in 2013 for that Kotak offered a loan of Rs. 3, 50, 000 which I have taken considering it to be education loan. However, they converted the education loan taken for that course into a personal loan amount. Due to this interest rate was increased compared to education loan. The scheme was that EMI's will be deducted from my salary after joining the bank and course completion in 2014. Every month Rs. 9350 was deducted from my salary account in Kotak Mahindra Bank. Trouble started when I had constantly asked Bank Managers to change my sales profile and transfer my branch. I could not continue sales profile and daily commuting of 1 hr due to health issue. But they didn't pay heed to my concerned. They made me report to HR department in Jun, 2015 after many mails. I went to HR department at Connaught Place, Delhi Office for continuously one month. However, HR was also not supportive towards my concerns. I stopped reporting to HR from August 2015 due to bad health. They terminated my service in September, 2015. As my salary stopped coming, I faced financial crisis to pay the EMI's. I payed EMI properly till Dec 2015 but after that I couldn't pay the EMI's timely due to financial crunch. Meanwhile, I had asked Kotak for the foreclosure of the Loan account by doing some settlement. They never provided the settlement amount and kept on charging interest, late payment charges etc. I somehow managed to pay EMI' s till August, 2016 and after that I stopped paying them. I have sent many mails for the settlement of this loan asking them to waive off interest and allow only principal due. They never provided that and every time assigned a new loan officer for my account. In November, 2016 I received a court notice from Kotak to show myself at District Judge in Chennai. This was after I was constantly in touch with loan officer for the settlement. Loan officer asked me to pay 3 month EMI together and he will provided the final amount after that. But again the loan officer was changed and I have to explain the whole situation to the new person. Meanwhile they also encashed the security deposit cheque provided during Loan disbursement and debited 3 months EMI from it also in November, 2016. So altogether I had payed 6 months EMI together. They never stopped charging interest charges, late payement fees etc during this time. So, the total charges accumulated to be around Rs. 11400 /- I have asked new loan officer to provide the settlement amount due to my financial situation. He could just waive off the above charges as the final settlement. Kotak loan dept is the worst department among all the department. At one time I am in constantly touch with loan officer for settlement, the other time I am getting court notice to show myself in Chennai. I am very stressed due to all these. First of all I dont have any income and secondly Kotak is handling the settlement in very unprofessional way. I dont know what can be done here?