BENGALURU: An RTI application by a customer of Canara Bank has revealed that the bank wrongfully collected over Rs 82 crore from its customers in 44 months between April 2018 and November 2021. With the bank continuing to collect penalties from the public, it could have touched Rs 100 crore till June 2022, he said.
The RTI applicant said that when he went to withdraw some amount from a Canara Bank ATM in 2018, he was levied a penalty for “insufficient funds” of Rs 23.60 which includes Rs 20 for the failed transaction plus GST. Stating that he was never informed about such a penalty, the customer took up the issue with an RBI ombudsman and requested a nominal compensation of Rs 100 for the deficiency of service from the bank. The award was recently issued in his favour for refunding the penalty levied plus the compensation.
The four-decade-old customer of the bank with a strong knowledge of banking rules explained that the public need to be given 30 days advance intimation if there is any modification in service charges, including fresh charges proposed to be levied. It needs to be displayed on the website of the bank, but it was not done by Canara Bank, he added.
The applicant charged, “Canara Bank has pocketed Rs 82 crore on account of ATM insufficient fund charges from April 2018 till November 2021 and still it is going on. The RBI may have to initiate proactive steps to stop this practice and unjust enrichment by the bank.” Despite numerous attempts by this reporter, no one in Canara Bank could be reached for response.