devangmehta
New member
- Bank Name
- SBI Cards and payment services ltd.
- Customer Care Number
- 1800-180-1290
- Loss Amount
- 7698
- Ratings
- Opposite Party Address
- SBI Cards and Payment Services Ltd
Tower-B, Infinity Towers
Block 2, Building 3, DLF Cyber City
Gurugram, Haryana – 122002, India
I am writing to express my deep concern and dissatisfaction regarding the practices adopted by SBI Cards and payment services ltd. and several other banks in charging customers for missed or overdue credit card payments. It is distressing to observe that there is no uniform adherence to RBI guidelines in this matter, leading to inconsistent, arbitrary, and disproportionately high charges across financial institutions.
Recently, SBI cards and payment services charged me, for missed/overdue amount, a hefty charge of Rs. 3197.54 on 13th September 2025 and in October 2025, the same charged me Rs. 1300 as late payment fees and Rs. 3326.15 as a finance charge, all the amounts are excluding of 18% GST. The SBI Cards and payment services ltd. charged the customer for missed or overdue payment at a 45% Interest rate per year.
The following are the RBI Guidelines for Charging Penal Interest/Overdue Charges on Credit Cards.
Given the critical role of the Reserve Bank of India as the regulator, it is imperative that clear, uniform, and fair guidelines be enforced strictly across all banks and NBFCs to protect consumers from such arbitrary charges. Customers deserve transparency, fairness, and relief from these predatory practices.
I urge the concerned regulatory authorities to take immediate corrective measures to address these issues and ensure that all charges levied comply fully with RBI rules, with uniform policies and reasonable limits on penalties for overdue payments.
For your reference I am also attaching my last 2 months statements. For consumer if it comes to depositing, the interest rate is 2.5% P.a. to 8% P.a. and when it comes to charging the consumer then in that case the interest rate becomes 45% P.a.
Thank you for your attention to this serious matter. I look forward to your prompt action and a formal response.
my mobile number is 8128242012
Recently, SBI cards and payment services charged me, for missed/overdue amount, a hefty charge of Rs. 3197.54 on 13th September 2025 and in October 2025, the same charged me Rs. 1300 as late payment fees and Rs. 3326.15 as a finance charge, all the amounts are excluding of 18% GST. The SBI Cards and payment services ltd. charged the customer for missed or overdue payment at a 45% Interest rate per year.
The following are the RBI Guidelines for Charging Penal Interest/Overdue Charges on Credit Cards.
- RBI Master Direction on Credit Card Operations (Updated):
- RBI permits issuers (banks and NBFCs) to charge penal interest or late payment fees for delayed payments on credit cards.
- The penal interest rate or late payment fee must be reasonable and clearly disclosed upfront.
- The penal interest or charges should be applied only to the overdue amount (i.e., the minimum amount due that was not paid by the due date).
- Penal charges must not be compounded.
- Credit card issuers are required to disclose the penal interest rate or late fees in the credit card agreement and billing statements.
- The late payment fee should be capped and not be punitive (RBI and industry standards typically limit late fees between ₹100 to ₹1000, depending on the overdue amount).
- Disclosure & Transparency:
- The issuer must disclose the late payment fee structure clearly in the Terms & Conditions.
- Monthly statements must show the minimum amount due, the last date of payment, and the applicable penal interest or fees if payment is delayed.
- Fair Practices Code:
- Credit card issuers must follow a fair practices code ensuring that charges are transparent and borrowers are notified in advance.
- Excessive Late Payment Charges and Finance Fees: Banks, including SBI Cards and payment services ltd., impose hefty late payment fees that often far exceed reasonable limits. Additionally, apart from these late payment charges, finance fees are also levied simultaneously, significantly increasing the financial burden on customers.
- Lack of Uniform Policy: Each bank appears to have its own policies and fee structures for missed or overdue payments, creating confusion and lack of transparency for customers. This inconsistent approach points to an absence of clear and enforceable RBI regulations governing such charges by NBFCs and banks.
- Consumer Exploitation: The cumulative effect of these charges is not just a business practice but amounts to unfair exploitation and financial looting of consumers, many of whom are already in vulnerable financial situations.
Given the critical role of the Reserve Bank of India as the regulator, it is imperative that clear, uniform, and fair guidelines be enforced strictly across all banks and NBFCs to protect consumers from such arbitrary charges. Customers deserve transparency, fairness, and relief from these predatory practices.
I urge the concerned regulatory authorities to take immediate corrective measures to address these issues and ensure that all charges levied comply fully with RBI rules, with uniform policies and reasonable limits on penalties for overdue payments.
For your reference I am also attaching my last 2 months statements. For consumer if it comes to depositing, the interest rate is 2.5% P.a. to 8% P.a. and when it comes to charging the consumer then in that case the interest rate becomes 45% P.a.
Thank you for your attention to this serious matter. I look forward to your prompt action and a formal response.
my mobile number is 8128242012
