Is the person who has overextended credit a candidate for sympathy if he means well? He wants to pay back the outstanding amounts against his multiple credit cards, but what if he has just been fired from his job and cannot make his multiple credit card payments? Do you castigate him, telling him that he made the bed, he must lie in it? If that is so, does your lack of sympathy extend beyond the fact that recovery agents came to his house when he wasn’t at home and threatened his wife and child?
If you are the sympathetic kind (especially if you also have been in a similar jam) would you:
- Tell the man that recovery agents are not allowed use force on borrowers or speak indecently to him or his family?
- Tell the man that if he doesn’t want to speak to the recovery agent, the agent has to respect his wishes and withdraw?
- Point out to him the RBI stipulation that “The bank and their agents should not resort to intimidation or harassment of any kind, either verbal or physical, against any person in their debt collection efforts, including acts intended to humiliate publicly or intrude the privacy of the debtors’ family members, referees, and friends, making threatening and anonymous calls or making false and misleading representations.“?
- Point him to the Banking Ombudsman site www.bankingombudsman.rbi.org.in where he can lodge a complaint?
- Point out to him that his best option would be pay off the entire amount. And then give him tips on how to do it - apply for a loan against property, stocks, insurance policy, or jewelry? But that he should try his best not to go for a settlement?
- That there are credit counseling agencies, such as ICICI bank’s Disha, that exist for the very purpose of helping people like him?
- All of the above
- None of the above
Here are some credit counseling agencies:
- Abhay (Bank of India), 61 A, Sadanand, 1st Floor, Above Bank of India Branch, Gokhale Road (north), Dadar (West), Mumbai- 4000 028. Call 022-24221843.
- Disha (ICICI Bank), Prince Apartments, Ground Floor, Karani Lane, Ghatkopar (West), Mumbai 4000 028. Call 65971815/86/87. Visit www.dishfc.org
- Union Mitra (Union Bank of India), Union Bank Bhavan, 239, Vidhan Bhavan Marg, Nariman Point, Mumbai- 400021. Call 022-22896502.
Answers:
Correct answer - Option 7
Incorrect answer - Any other option or combination of options
So incorrect that it scares me! - Option 8
November 19th, 2008 at 7:03 pm
Its wonderful to know this that recovery agents cannot trouble the borrower. Even after reading this it’s hard to believe this. But great to know good job done by the author to bring this fact out.
November 19th, 2008 at 7:06 pm
Its truly amazing amazing it is unique piece. I would request the author to throw light on how to complain on the banking ombudsman and how soon they would come to the rescue.
November 19th, 2008 at 8:05 pm
This seems to be an interesting way of explaining tough things. You guys are doing a great job.
November 20th, 2008 at 10:16 am
It are defaults like this only which leads to something known as subprime these days. Which made most of the banks in the US bankrupt? Do’t you think there should be a more better way to deal with people like this? I don”t support the recovery agent thing. But a bit more tight than a bank executive calling up and asking very politely “Sir it would be great if you can pay your emi for the last 6 months” What is your take on this?
November 20th, 2008 at 10:27 am
Can you tell me how can I use the balance transfer on my credit card in case I am using two credit card.
November 20th, 2008 at 10:50 am
Interesting emotional article, but makes sense it can happen to anybody..
November 20th, 2008 at 10:52 am
Options stated are interesting with current economic conditions and job cuts many people can face this.
November 20th, 2008 at 10:57 am
It feels good that there some credit counselling agencies who can guide you on this.
I think people should be made aware, that they have such platforms where they can approach people to solve their problems.