Deduction Of Instalments After Loan Settlement, Shimla District Commission Holds ICICI Bank Liable

In a recent case before the Shimla District Commission, ICICI Bank was directed to refund excess deductions made from a customer's account for a loan settlement. The complainant alleged that despite settling the loan, the bank continued to deduct instalments. The commission found this practice unfair and ordered the bank to refund the deducted amount along with compensation and costs. This decision underscores consumer protection concerns in banking practices, emphasizing the need for transparency and adherence to settlement terms by financial institutions.