A Delhi consumer commission has directed SBI Card to pay Rs 50,000 in compensation to a woman who was issued a credit card carrying a much higher annual fee than the one she said she had requested. The commission also ordered the company to close the disputed card and issue a bill reflecting the account position as of August 4, 2023.
The case highlights the importance of customer consent, transparent communication and proper grievance redressal in the credit card industry.
Woman Says She Was Promised a Lower-Fee Credit Card
The complainant, Neha Chaudhary, said she had opted for an SBI SimplyCLICK credit card carrying an annual fee of Rs 499 plus applicable GST.
However, she alleged that an SBI Card representative obtained her biometric KYC details for a different product, the Club Vistara credit card. She subsequently received a card with a credit limit of Rs 73,000 and an annual fee of Rs 2,999 plus GST.
The difference between the two annual fees was Rs 2,500 before tax, making the issued card substantially more expensive than the one she said she had selected.
SBI Card Allegedly Failed to Resolve Her Complaint
According to the complaint, the woman did not use the card and contacted SBI Card to request a switch to the lower-fee product or closure of the account.
She alleged that her requests were not addressed satisfactorily despite repeated communication with the company. She also sent a legal notice after attempts to resolve the matter failed.
The dispute eventually reached the District Consumer Disputes Redressal Commission in South Delhi, which examined the complaint and the company’s handling of the issue.
Consumer Commission Orders Rs 50,000 Compensation
The commission found deficiencies in service and treated the conduct as an unfair trade practice. It directed SBI Card to pay Rs 50,000 in compensation to the complainant.
The company was also ordered to close the disputed credit card and issue a bill as of August 4, 2023. The order addresses the consumer’s complaint about receiving a card with different fee terms and being unable to get the matter resolved.
The ruling reinforces the importance of ensuring that financial products are issued in accordance with customers’ stated choices and that complaints are handled appropriately.
What Credit Card Customers Should Learn
The case serves as a reminder for consumers to verify the name, fees and terms of a credit card when it is issued. Applicants should retain copies of application forms, digital confirmations, emails and messages that establish which product they selected.
If a card arrives with unexpected charges or different terms, customers should raise a written complaint with the issuer and keep a record of all responses. If the issue remains unresolved, they can consider approaching the appropriate consumer grievance forum.
Why the Case Matters
Credit cards often come with different annual fees, rewards programmes, eligibility requirements and benefits. Customers should not assume that two products from the same issuer carry similar costs.
The dispute also underlines why financial service providers need clear consent procedures and effective customer support, particularly when applications involve multiple card options.
Summary
A Delhi consumer commission has ordered SBI Card to pay Rs 50,000 to Neha Chaudhary after she alleged that she requested an SBI SimplyCLICK card costing Rs 499 annually but received a Club Vistara card with a Rs 2,999 annual fee, plus GST. The commission also directed the company to close the disputed card and issue a bill as of August 4, 2023.
