Don't go for personal loan with bank - worst bank?

Question

I had very bad experience with your bank. I for offer for balance transfer loan from bank. I submitted all my documents in 1st week of april. Every week they use to ask further documents from me. And submitted all. Finally on 2nd may they came for taking signature on loan documents & took 10 signed cheque. I was told within one week, loan will disbursed to me. I received sanction letter copy through wats up, dated 5th may. Executive called & told me within 3 to 4 days i will get amount. But till 1 week no response, and they keep saying that our process changed so 1-2 days u will get amount. Again on 13th may they called & said submit one more document & your dd is ready we will submit to bank once u give document. I have sent my personal loan tracker document. I waited 2 days but no response. Till 18th may they are saying reasons. I called them on 19th may and asked to return my documents & chequea. But they are sayin plz visit our branch & we cant return. But now i dont need loan from your bank I am afraid what to do if they dont return my signed chques?

Answer 1

Dear Cardoza,

At the outset, let me clarify that this site is designed by a group of senior Banking Professionals to assist Bank Customers at large to provide guidance for resolution of any complain/query/grievance in respect of financial services. This site does not belong to any Bank or a regulator, which may please be noted.

I understand your concerns both with regard to the tedious procedures you were subjected to and also the scope for misuse of the blank signed cheque leaves in the bank's custody. If you have finally decided not to opt for the loan, you have got the right to get back all the documents you had signed/made to sign. Since the bank's executive got the loan application and the relevant loan documents executed at your end, I don't any reason for the bank insisting on your personal visit to collect the cheques.

Since you have decided not to avail the loan, the documents executed by you are not very relevant, if the loan has not been disbursed by the bank so far. As regards the cheque leaves, the best course would be to get them back from the bank and destroy them. Alternatively, you can issue a stop payment instruction to your bank listing all cheque numbers. Take due acknowledgement of the request you may submit to the bank. Once this is done, there will be little scope for any manipulation by the loan department of the bank.

In case you don't get the necessary cooperation from the loan department or the branch  with regard to stop payment instructions, you can lodge a complaint with the Nodal Officer of your bank. Contact details of Nodal Officer can be found on the bank's website.

Regards

 

J R Mohandas