The District Consumer Disputes Redressal Commission-II, Kolkata (West Bengal), with Sukla Sengupta as President and Reyazuddin Khan as Member, held SBI Credit Card Services accountable for deficient service. They found fault in the debiting of funds from the Complainant’s account despite the cancellation of a transaction.
Background:
The Complainant, a holder of an SBI Credit Card with a credit limit of Rs. 70,000/-, booked a room at Hotel Comfort Inn President in Ahmedabad via Booking.com on November 21, 2017. Upon finding a better offer elsewhere, the Complainant promptly cancelled the booking at Comfort Inn President and received immediate acknowledgment from the hotel. Despite this, SBI Cards sent an SMS debiting Rs. 82,600/- from the Complainant’s credit card for the cancelled transaction, exceeding the credit limit by Rs. 12,600/-. Shocked by this unauthorized debit and the lack of prior notice from SBI, the Complainant immediately contacted customer service, declined further use of the credit card, and submitted a transaction dispute form on the same day.
Despite providing necessary documents and engaging with SBI via email and phone, the Complainant did not receive a resolution. SBI responded that no transaction appeared in their system and that the dispute period had elapsed beyond the stipulated 17 days from the transaction date. The Complainant argued that his reference was made within the 17-day period and alleged that SBI mishandled the complaint deliberately for financial gain. After receiving no relief from SBI, the Complainant issued a legal notice and subsequently filed a consumer complaint with the District Consumer Disputes Redressal Commission-II, Kolkata (West Bengal), against SBI Cards.
SBI Cards contended that the Complainant was bound by the cardholder agreement, which included an arbitration clause requiring disputes to be resolved by an arbitrator appointed by SBI. They asserted that all terms and conditions were provided to the Complainant in a welcome kit prior to any transactions. SBI Cards also claimed that Booking.com’s version was crucial for proper adjudication, and criticized the Complainant for not including Booking.com as a party in the case. They further stated that the Complainant’s failure to furnish necessary documents like a credit note and merchant’s confirmation letter hindered their investigation into the disputed amount.
Findings of the District Commission:
The District Commission reviewed evidence submitted by the Complainant, confirming the transaction and subsequent cancellation. It noted SBI Cards’ failure as a service provider to resolve the issue. The Commission concluded that SBI Cards’ actions constituted severe deficiency in service by debiting the amount despite the acknowledged cancellation and exceeding the credit limit.
Therefore, the District Commission ordered SBI Cards to credit Rs. 82,600/- back to the Complainant’s account and waived any interest on this amount. Additionally, SBI Cards was directed to compensate the Complainant with Rs. 20,000/- for damages and cover litigation costs amounting to Rs. 10,000/-.