Credit card disputes
Card issuers are bound by the RBI's credit and debit card directions: to close a card when asked, to explain a disputed bill with evidence, to issue nothing you did not ask for, and to charge nothing they have not earned. Each of those duties carries a date.
to close a card after your request, or ₹500 a day to you
for the issuer to explain a disputed bill, with evidence
past due before a late charge or a past due report
the charges reversed, for a card activated without consent
Your rights as a cardholder
कार्डधारक के अधिकारDrawn from the Reserve Bank of India (Credit Card and Debit Card: Issuance and Conduct) Directions, 2022, which bind banks and NBFCs that issue cards.3
- ClosureClosure on requestA request to close a credit card must be honoured within seven working days, subject to payment of all dues. For each day of delay beyond that, the issuer pays you ₹500, provided nothing remains outstanding.3
- BillingExplanation of a disputed billWhere you dispute a bill, the issuer must give an explanation, and documentary evidence where applicable, within 30 days of your complaint.3
- FraudNo charges on a fraud disputeNo charges may be levied on a transaction disputed as fraud until the dispute is resolved.3
- Late chargesNo late charge for the first three daysAn account may be reported as past due, or penal charges levied, only when it has remained past due for more than three days.3
- ConsentNothing without your consentNo card may be issued or upgraded, and no credit limit increased, without your explicit consent. A card is activated only with your OTP-based consent.3
- UnsolicitedPenalty for an unsolicited cardWhere a card you did not ask for is activated without your consent, the issuer must reverse the charges and pay you a penalty of twice the value of the charges reversed.4
- Credit reportCorrect reporting to credit bureausNothing on a new card is reported to credit bureaus before it is activated. After you settle a default that was reported, the issuer must update the status within 30 days.3
- RecoveryName of any recovery agentIf your account is assigned to a recovery agent, the issuer must give you the agent's name and contact details.35
What to do
क्या करें- Day 0Write to the issuerUse the issuer's grievance email or portal, not a phone call alone. State the card's last four digits, what you ask for, and the date. Keep the reference number.
- By day 7 for a closureCheck the closureIf the card is not closed within seven working days of your request and nothing is due, the ₹500 a day compensation accrues. Claim it in writing.
- By day 30 for a billExpect the explanationThe explanation, with evidence, is due within 30 days. A reply without documents does not answer a billing dispute.
- After 30 days, or on rejectionEscalateWrite to the issuer's Nodal Officer and Principal Nodal Officer, then file before the RBI Ombudsman, free of charge.7
Letters to the issuer
जारीकर्ता को पत्रTwo letters for the two most common disputes. Complete the bracketed particulars.
To, The Grievance Redressal Officer, [Name of the card issuer] Subject: Closure of credit card ending [last four digits] and compensation for delay Madam or Sir, 1. On [date of request], I requested closure of the above credit card through [channel], reference [number]. 2. All dues on the card [have been paid / are paid by this letter]. The card has not been closed. 3. Under the Reserve Bank of India (Credit Card and Debit Card: Issuance and Conduct) Directions, 2022, a closure request is to be honoured within seven working days, failing which the issuer pays the cardholder ₹500 for each day of delay. 4. I request you to close the card forthwith, confirm the closure in writing, report the closure correctly to the credit information companies, and credit the compensation due for the delay to my account. [Name] [Email address] [Date]
To, The Grievance Redressal Officer, [Name of the card issuer] Subject: Dispute of the statement dated [date], credit card ending [last four digits] Madam or Sir, 1. I dispute the following entries in the above statement: [Date] [Description] [Amount] [Reason for dispute] [Date] [Description] [Amount] [Reason for dispute] 2. I request an explanation of each entry, with the documentary evidence on which it rests, within 30 days of this complaint, as the RBI card directions require. 3. [If any entry is disputed as fraud:] I request that no charges be levied on the disputed transactions until this dispute is resolved. [Name] [Email address] [Date]
Evidence to keep
रखने योग्य प्रमाण- The closure request and its acknowledgement or reference
- Statements showing the disputed entries
- Proof of payment of all dues
- Messages or emails about any card you did not request
- The SMS alerts of disputed transactions
- Your complaint and every reply received
Questions
प्रश्नA card was sent to me that I never applied for. What should I do?
Do not activate it. Write to the issuer stating that you did not request the card and asking it to close the card and confirm that nothing will be reported in your name. If it was activated without your consent and charged, the issuer must reverse the charges and pay a penalty of twice their value.4
I paid a default that was reported. When will my credit report change?
Can the issuer refuse to close my card while I have reward points?
Closure is subject only to payment of dues. Redeem any points you wish to keep before you request closure, but the existence of points is not a ground to keep the card open against your request.
A recovery agent is calling me about my card. What applies?
The same rules that govern loan recovery apply, including the 8 am to 7 pm limit and the prohibition on threats and shaming. See the guide on the conduct of recovery agents.
Other guides
अन्य मार्गदर्शिकाएँCase Registry
A grievance left unanswered is a grievance not yet registered.