STANDARD CHARTERED BANK Vs. ASHISH AGARWAL & ANR.

JUDGEMENT

(1.) This revision petition has been filed by the petitioner against order dated 24-07-2013 passed by the learned State Consumer Disputes Redressal Commission, Delhi (in short, 'the State Commission'), in First Appeal No. 810 of 2009 - Standard Chartered Bank Vs. Ashish Agarwal & Anr., by which while dismissing appeal order of District Forum allowing complaint was upheld.

(2.) Brief facts of the case are that the complainants/respondents Shri Ashish Aggarwal and his wife Mrs. Alka Aggarwal took a house loan of Rs. 48 lakhs from the OP/petitioner on 03-05-2003 @ 8% floating rate of interest. The loan was to be paid regularly. On 19-02-2008, Principal outstanding amount was Rs. 16,83,036.99p. From 01-04-2007, the OP arbitrarily changed the interest rate from 10.25% p.a. to 11.25% without any intimation to the complainants and again with effect from 01-07-2007, the OP changed the rate of interest from 11.25% to 12.25% without any information to the complainants. In the meantime, the complainants learnt that PNB was charging lesser rate of interest i.e. 9% only. The complainants therefore got their house loan transferred to PNB on 23-02-2008. However, the OP charged Rs. 77,450.57p. as prepayment charges @ 2.81%, which was calculated on outstanding principal amount of Rs. 24,57,443.15p. whereas the Principal outstanding amount was Rs. 16,83,036.99p. only at the time of transfer of loan on 23.02.2008 to the PNB. The OP also arbitrarily charged Rs. 8,892.82p. on account of interest for the month of Feb., 2008 whereas the cheque of Rs. 40,150.00 EMI for the month of Feb., 2008 had already been encashed by the OP. Alleging deficiency on the part of opposite party, complainant filed complaint for refund of Rs. 77,450.57p. towards the payment charges and Rs. 8,892.82p. charged on account of interest.

(3.) Opposite party resisted complaint, denied all the allegations but admitted that on 27-03-2003, a loan of Rs. 48 lakhs @ 8% p.a. was sanctioned to the complainants. At the time of taking loan, the complainants had opted for variable rate of interest. The complainants executed a loan agreement on 21-04-2003. Since the complainants opted for a floating rate of interest on their aforesaid house loan, the same was viewed periodically as per banking industry wise practice. On the basis of the request made by the complainants, OP issued a letter giving details wherein it was shown that outstanding principal amount was Rs. 16,83,036.99. Since the complainants were closing their account, they were liable to pay pre-payment charges in accordance with the Loan Agreement. As per schedule of charges dated 01.04.2007, the pre-closer fee on home loan was to be calculated @ 2.81% including service tax. The complainants had an outstanding principal of Rs. 16,83,036.99 and the total of the amount paid within 180 days towards principal outstanding was Rs. 10,73,211.00, therefore, in total prepayment amount calculated on Rs. 24,57,443.15 @ 2.81 including service tax which comes to Rs. 77,450.57p. Since the complainants had opted for variable rate of interest as reflected in the loan application form, the variable rates were viewed periodically and charged accordingly. On the request of the complainants, OP issued a letter dated 19.02.2008 for closer of the account of the complainants wherein prepayment charges were levied in accordance with clause 2.8 of the Loan agreement and also as per schedule of the charges and prayed for dismissal of complaint. Learned District Forum after hearing both the parties allowed complaint and directed opposite party to refund Rs. 77,450.57p. plus Rs. 8,892.82p. Along with Rs. 30,000.00 as compensation. Appeal filed by the opposite party was dismissed by learned State Commission vide impugned order against which this revision petition has been filed.