A Cry For Help &Credit Consumers Association of India 's Response

A cry for help and our response 

November 24, 2009

by vinodchand 

Dear Mr. Kambli
I read about you in one of the news papers and was really happy to know that someone is voicing against these MNC banks who are charging exorbitant ROI and really sucking the blood of poor middle class who is un organised.

RBI has also added to woes of middle class by creating CIBIL which will again hamper the middle class only. One really wonders why these banks need any protection when they are charging such a high rate of intrest.

The govt of India is also hand in glove with these banks as nothing is done against the recovery agents of these banks.CIBIL must be banned as it will kill the middle class in long run.

I have lost my job due to recession and now finding it very difficult to pay back as the amount is huge and there is no regular income for me and a family to look after. These cards have really messed up my life and I am totally frustrated . I have already informed all the credit cards co about the settlement but HDFC and ICICI bank are trying muscle power.

what is way out of this if you could guide me on this that will be a great help and what is right amount one can pay towards full and final settlement I am pursuing them for 30% of the total outstanding towards the full and final settlement as that s all i can manage at this jucture.looking forward for your response.

Regards
Jai

Our Response

Dear Sir,

Many thanks for sharing our concern vis-a-vis foreign and indian private banks. These banks are the modern version of Shylock.

Banks get protection because they are cleverly using the SYSTEM from the inside. They have deep pockets which are being used to grease some palms at the right places, common man be dammed.

Someone aptly defined a banker as a person who will lend you his umbrella while the sun is shining and take it away the moment it begins to rain! Our bankers are no different, they are indeed fair weather friends unless the sum involved runs into thousands of crores in which case they will give you still more in the hope of protecting their earlier exposure.

We empathize with your loss of job and the fact that credit cards have made your life miserable. Using credit cards is one of the worst thing that one can do in a crunch situation, it is better to borrow from friends and relatives to help you tide over tough times. But then often our ego gets the better of us.

We agree that CIBIL will systematically destroy the middle class and the banks will then have no one to lend to. The banks will not lend to the poor because they do not have the repayment capacity, the rich will not borrow and the middle class would have been made in-eligible by CIBIL!

A settlement of 30 to 40% can be negotiated for stressed assets. In your case too, take time to find out your principal outstanding with the banks(the amount you have actually spent, minus the interest, late fees, penalties, etc.). Banks will normally agree to settle on this amount.

If harassed or threatened, please approach your nearest police station and file a criminal complaint of intimidation against the person/ persons/ organizations that are indulging in this.

Please do not hesitate to write to us or call us for further help.

Regards

Vinod Chand
General Secretary
Credit Consumers Association of India