Changing Terms of Service without informing the customer.?

Question

I have been banking with Bank since 18 years and observing that Banking keep changing Terms of Service without further notice like charges..

For example that if banks modifies any terms in agreement then they should give the notification in advance and also wait for the confirmation from the customer if they still willing to continue with that bank. Off late I am getting messages like ATM withdrwal charges, SMS Alerts charges. 

Point here is that they just sent out a notification over SMS to customers and messages says that if you wish not to subscribe then visit to branch. 

Here catch is that if Bank has 50 Million customers and they sending out mass mailer, I suspect following things will happen..

1. Not all the customer will get SMS if they have changed mobile or phone is switch off hence they dont visit branch

2. Not all the customer will visit the branch which means that Bank will start charging them (No Visit means that you have accepted the terms of change)

Even though customers visit branch then they have to fill in the paper form and also prove that they are real owner of the account where in case of the incorrect deliver of SMS is accepted from Bank side.

In this mass loot by bank in pretext of Change of Terms gives no chance to customer to react hence they pocket huge profit.

Like to know your view and my rights and how I can approach to right authority.

My all tries to reach out to Bank has resulted no solutions...

 

Thank You

Priti

Answer 1

Hi Priti,

I fully agree with your views. If the Bank increases / decreases any charge or changes existing terms & conditions, the same is notified (a) through your account statement, which is received physically or through email, (b) published in the bank's domain for public knowledge, (c) through notice displayed at the branches. Please visit the nearest branch & enquire about the same and ascertain the means through which the customer is notified about the changes. If the response from the branch is not positive, register your complaint through email with the Customer Service Cell of HDFC Bank. If there is any specific issue which has aggrieved you, more particularly financially, cite the issue in your email to HDFC Bank and if you do not receive any reply / satisfactory reply, please lodge a complaint with the Banking Ombudsman through email with all details.

P K Dash

Answer 2

Madam,

At the outset, thanks for raising a valid query. As regards our view on your
complaint, we would agree with your point that an advance intimation is required for
change in terms of service/ charges. 

Normally, such changes are communicated in advance by way of new charge structure
leaflet sent along with quarterly/monthly statement of account, which is also called
mass mailing. Another way adopted by the Banks is to display new charge structure on
the Bank's website. Sending mass SMS is another option. Since there are millions of
customers with the Bank, waiting for customer confirmation, realistically, not
possible.

If you are not able to visit the branch in time for any reason, you can always give
a letter seeking reversal of charges levied, if any. Please ensure that you retain
an acknowledged copy of the complaint. If you are not satisfied with the Bank
response or you do not get response to your letter, you are free to approach Banking
Ombudsman under whose jurisdiction Branch is located.

If you need further clarification, please feel free to post another question.

Thank and regards

Deepak