Consumer Sumit Kumar raises a serious complaint against Axis Bank for deducting ₹9,400 as processing fees despite loan disbursement failure. Learn about legal remedies, complaint filing steps, and how Choice4Voice.com can help.
Complaint Summary : Axis Bank Fraud Complaint – Sumit Kumar Alleges ₹9,400 Deducted as Processing Fees Without Loan Disbursement
| Details | Information |
|---|---|
| Complainant Name | Sumit Kumar |
| Company/Brand | Axis Bank |
| Complaint Type | Unauthorized Deduction / Banking Fraud |
| Product/Service | Loan Against Security |
| Amount Deducted | ₹9,400 (Processing Fees) |
| Issue Description | Loan not disbursed, yet fees deducted; bank refused refund |
| Bank’s Response | Claimed fee mentioned in welcome letter received after deduction |
Full Complaint Details
Sumit Kumar, a marketing professional, has raised a serious allegation against Axis Bank, one of India’s leading private sector banks.
He applied for a Loan Against Security as an Axis Bank account holder. However, the loan did not get disbursed due to internal issues. Despite this, Axis Bank deducted ₹9,400 as processing fees from his account.
The shocking part, according to the complainant, is that the welcome letter citing such charges arrived only after the deduction, leaving him unaware of the terms beforehand.
When he escalated the matter to Axis Bank’s higher management and even the MD’s desk, he was rudely told that nothing could be done and was asked to “go to RBI if you want.”
This raises questions about unfair trade practices and consumer exploitation in the banking sector.
Which Brand is Involved
- Axis Bank Ltd. – India’s third-largest private bank, founded in 1993, with over 4,500 branches across the country.
- Known for retail and corporate banking, but increasingly facing consumer complaints regarding hidden charges and grievance redressal failures.
Solutions Expected
The complainant demands:
- Immediate refund of ₹9,400 wrongly deducted.
- Apology from Axis Bank for rude behavior and poor grievance handling.
- Transparent communication about all charges before deduction.
- Policy-level reforms so that no fees are deducted without disbursal of a loan.
Legal Options Available
Victims of such deductions can pursue the following legal remedies:
- Banking Ombudsman Scheme (RBI)
- File a complaint under RBI Ombudsman for unauthorized deductions and unfair trade practices.
- Consumer Protection Act, 2019
- Approach the Consumer Disputes Redressal Forum for deficiency in service and claim compensation.
- Indian Penal Code (IPC)
- Section 420: Cheating by dishonestly inducing delivery of property.
- RBI Master Directions on Loan & Processing Fees
- RBI mandates transparency in loan charges, violation may lead to penalties.
Departments & Authorities for Filing Complaints
- RBI Ombudsman – cms.rbi.org.in
- National Consumer Helpline (NCH) – 1800-11-4000 | consumerhelpline.gov.in
- Consumer Court (CDRC) – File online via edaakhil.nic.in
- Ministry of Finance (Dept. of Financial Services) – For escalations against private banks
- Police (Economic Offences Wing) – In case of proven fraudulent intent
How Choice4Voice.com Can Help
At Choice4Voice.com, we ensure consumers like Sumit Kumar are not left unheard:
- We publish and amplify complaints across platforms to create public pressure on banks.
- Provide step-by-step filing guides for RBI Ombudsman, consumer forum, and police.
- Share ready-to-use legal templates (RBI Ombudsman complaint draft, consumer forum petition, FIR draft).
- Highlight cases on LinkedIn and digital media to strengthen consumer voices.
- Offer guidance until resolution, ensuring accountability from large institutions.
Step-by-Step Guide to File a Complaint Against Axis Bank
- Raise a Service Request in Axis Bank Portal – Keep acknowledgment number.
- File on RBI Ombudsman Portal (cms.rbi.org.in) – Submit details of unauthorized deduction.
- Escalate via National Consumer Helpline – Register case online or call.
- File on edaakhil.nic.in – Submit consumer court case with proof of deduction.
- Police/EOW Complaint – If there’s evidence of fraudulent intent.
Author
Complainant: Sumit Kumar
(Marketing Professional, Asian Business School Noida | Diploma in International Marketing, Oxford Business School UK)
Q&A Section
Q1. Can a bank deduct processing fees without loan disbursement?
No, fees should only apply if the loan is sanctioned and disbursed.
Q2. What can I do if Axis Bank deducted charges unfairly?
File a complaint with the RBI Ombudsman and Consumer Forum.
Q3. How to get a refund of wrongly deducted charges from a bank?
Approach bank grievance redressal, then escalate to RBI Ombudsman.
Q4. What is the RBI Ombudsman Scheme?
It is a platform to resolve banking-related consumer complaints free of cost.
Q5. Can I file a consumer case against Axis Bank?
Yes, under the Consumer Protection Act, 2019.
Q6. How much time does RBI Ombudsman take to resolve complaints?
Typically 30–60 days.
Q7. What proof is needed for a banking complaint?
Bank statements, emails, SMS alerts, and written communication.
Q8. Is Axis Bank allowed to refuse refund requests?
Not if the deduction is unfair or undisclosed.
Q9. Can I claim compensation for mental harassment by a bank?
Yes, through the consumer court.
Q10. How to escalate complaints beyond Axis Bank’s MD desk?
Approach RBI Ombudsman and Ministry of Finance.
Q11. What if Axis Bank says fees are in the welcome letter?
You can challenge it since deduction before disclosure is illegal.
Q12. Which IPC sections cover such deductions?
Section 420 (Cheating) and Section 406 (Criminal Breach of Trust).
Q13. Can I recover my money via consumer forum?
Yes, consumer courts can order refunds and compensation.
Q14. Is ₹9,400 deduction without service a fraud?
It may qualify as unfair trade practice and misrepresentation.
Q15. Can I file an FIR against Axis Bank for cheating?
Yes, if fraudulent intent is proven.
Q16. How does Choice4Voice.com support victims of banking fraud?
By providing legal guides, complaint templates, and public visibility.
Q17. Can banks legally deny RBI escalation?
No, every consumer has the right to approach RBI Ombudsman.
Q18. What is the consumer helpline number for banking complaints?
National Consumer Helpline – 1800-11-4000.
Q19. Is there a deadline for filing a complaint with RBI Ombudsman?
Yes, within one year of the incident.
Q20. What steps ensure future protection against hidden charges?
Always demand pre-approved loan terms, check RBI guidelines, and keep documentation.
