under OLD rules, banks used to make Customer liable for all the transaction carried out (Genuine or fraudulent) until the time of reporting of loss of card / fraudulent transaction.

Hi,

Wanted to update you about something good and important.

So far, under OLD rules, banks used to make Customer liable for all the transaction carried out (Genuine or fraudulent) until the time of reporting of loss of card / fraudulent transaction.

Now (in fact, from 6-July-2017), RBI has circulated NEW RULES. These apply for all card (Debit/ Credit / prepaid), Netbanking,  e-Wallets / Payment Bank Account, fund transfer Transactions. Here is the quick summary:

1. Customer MUST be notified of every Transaction via SMS AND ALSO email.

2. Customer liability is ZERO, If there is a security lapse / shortfall or negelgence of the bank system / process, IRRESPECTIVE , whether customer has reported the loss or not.

3. Customer liability is ZERO, if the loss / fraudulent transaction is reported in 3 WORKING days, EXCLUDING the day of receiving Transaction notification / intimation / communication by the bank.

4. If the loss / fraudulent transaction is reported in 4 to 7 working days, MAXIMUM liability of the customer is 10,000 (TEN Thousand only) for most of the cases / Account / card holders (i.e. up to 5 lakhs) and max 25,000 for all other.

Full circular is here:
https://m.rbi.org.in//scripts/notificationuser.aspx?Id=11040&mode=0

That's really a very big relief.

PS : please share with your friends and spread the awareness.

MSME unit it is a priority lending sector by a Government Policy to bring about Economic Development of The Country.

How Stupid our Judiciary can become, I will prove to you.
For a MSME unit it is a priority lending sector by a Government Policy to bring about Economic Development of The Country.
1. Banks are give Projections if a Business
2. Banks on being convinced fund upto 75% of the Business
3. So Banks are a major partner in the Business gor the welfare of the Country
4. Business is like a ship. If holes develop it does not sink overnight unless there is a hurricane like Lehman Brothers.
5. Banks are aware of the holes because the Account of the Business is with them.
6. A major shareholder keeps his head in the hole ignoring all symptoms of a likely default and takes no corrective action. Why ? The Stakes are Higher for him?
7) He purposely waits till the Business collapses.
8) Then Comes the Dissection. The Butchers Kinfes are Out sharpened at the Altar of Drts. Debt is recalled. But Debt went to create Asset for the Country. So what? Banks want their Money. They killed the MSME in the first instance and now they want their Money with interest. The very ethos of the Prime Objective of the Country is forgotten.
9) The Judges are not even a semblance of King Solomon. They without Batting a Single Eyelid, Pass Orders for the poor MSME promoter to deposit 50% of the Debt and Interest demanded by Bank, who had created that situation in the first place.
10) How can a minority 25% share holder in the Business , whose 25% has already eroded, bring in 50 %? An impossible task.
11) The final noose is tightened around the neck of the MSME entrepreneur .
12) Who looses? The Entrepreneur and the Labour and the Country.
13) The Judges who handle the mantle of the Sword , a their unimaginable and ignorance of the MSMED Act with one Strike of 50% bring about the complete death of the MSME. Their Order “ Pay 50% and then We The Gods” will hear You” Do they realise that Dead Bodies do not Speak. Can They?
14) Are the Judges the Upholders of the Law or Complicit Humans of an illegal action of the Bank who by their reckless actions and purposeful ignorance of the MSMED Act and the Mandatory Guidelines of The RBI go Scot free to squander Public Funds on Mallaya and Modis, making the Poor MSMEs a sacrificial Goat ?
15) The Goat goes to the Temple of Justice clutching the finger of the Advocate, hoping to survive a death, little knowing that to save that death he has to kill himself because the Keeper of Justice demands 50% of his Bones and Blood. Without dying can this Order be Executed?
15) Is this Justice?
16) Misery they name is Poverty. Why put up a facade of MSMEs when your real motive is Mallaya and Modi? Right from Every Big Industrialist past or present they have looted the system and all persons in the system have made personal fortunes. The MSME Goat was fed by the System to be Sacrificied on Eid.
Believe me after the Goat is Sacrificied the Flesh and Bones are exchanged as blessings of God for the penance of the Fasting that the Bank did. During the day the Bank ate no interest but at night are a compounded interest. Sarfaesi and Justice are the Knives of their Armour, the Goat is not aware of. They give the Goat Green Grass, knowing very we’ll that the future holds a fat prize for them. Money begets More Money. The Goat Dies. Who Cares?

casual act of letting your spouse or a close relative/friend withdraw money from an ATM using your debit card could prove costly. This is what a Benglauru woman on maternity leave recently learnt.

casual act of letting your spouse or a close relative/friend withdraw money from an ATM using your debit card could prove costly. This is what a Benglauru woman on maternity leave recently learnt.

Banking rules categorically state that an ATM card is non-transferable and no other person apart from the account holder should use it.

On November 14, 2013, Marathahalli resident Vandana gave her debit card with PIN to her husband, Rajesh Kumar, to withdraw Rs 25,000 from a local SBI ATM. Rajesh went to the ATM and swiped the card; the machine delivered a slip showing the money was debited, but the amount was never released. SBI cited the ‘non-transferable’ rule and said the account holder was not the ATM user and turned down the money claims.

Vandana approached the Bangalore IVth Additional District Consumer Disputes Redressal Forum on October 21, 2014, alleging that SBI had failed to refund the Rs 25,000 she’d lost in the ATM transaction. She said she had just given birth and could not move out of home, hence had to ask her husband to draw the money on her behalf.

Before approaching the consumer forum, the couple made a final plea to the bank ombudsman who simply ruled, ‘PIN shared, case closed.’

The case went on for over three-and-a-half years. Vandana said SBI should refund her money which was lost due to an ATM flaw, but the bank stood its ground, citing the rule that sharing ATM PIN with someone else was a violation. Further, the bank produced documents, including log records, showing the stated ATM transaction was successful and technically correct.

In its verdict on May 29, 2018, the court ruled that Vandana should have given a self-cheque or an authorisation letter to her husband for withdrawal of Rs 25,000, instead sharing the PIN and making him withdraw the money. The court dismissed the case.

https://timesofindia.indiatimes.com/city/bengaluru/woman-at-fault-for-sharing-debit-card-with-spouse-court/articleshow/64485320.cms

Civil Suit Not Maintainable After SARFAESI Proceedings Are Initiated: SC

Civil Suit Not Maintainable After SARFAESI Proceedings Are Initiated: SC [Read Order]

Read more at: http://www.livelaw.in/civil-suit-not-maintainable-after-sarfaesi-proceedings-are-initiated-sc-read-order/

Difference if MPs in UK and INDIA

Difference if MPs in UK and INDIA

ILR 2018(1)kerala 479 article 226 High court should not entertain WPs arising from proceedings under SARFAESI Act and grant interim orders when efficacious alternative remedy is available under the said Act

Article 226 High court should not entertain WPs arising from proceedings under SARFAESI Act and grant interim orders when efficacious alternative remedy is available under the said Act