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Education Loan Interest Subsidy
Summary
The user is dealing with an issue where the bank failed to claim an education loan interest subsidy due to service deficiencies. The user has filed a complaint in the consumer forum and needs to arrange their points legally. The steps include detailing the loan and subsidy, highlighting the banks service deficiencies, explaining the impact on the borrower, documenting attempts to resolve the issue, and citing relevant legal grounds. The user also needs to address the banks claim that the complaint is time-barred by explaining the delays and false assurances given by the bank.Full Conversation
Punjab
Thank you for providing your location, **** ****. Could you please describe the legal issue you need assistance with in more detail? This will help me provide you with the most relevant information.
Need help related to education loan interest subsidy not claim by bank due to the deficiency of service by bank the complaint file case in consumer forum. I want to help arrange the below points is legal way
Certainly, **** ****. Here are the steps to arrange and present your points legally in the consumer forum:
*. **Details of the Loan and Subsidy:**
- Clearly state the amount of the education loan and the expected interest subsidy.
- Provide documentation of the loan agreement and subsidy terms.
*. **Deficiency in Service by the Bank:**
- Detail the specific service deficiencies by the bank that led to the non-claim of the subsidy.
- Provide any correspondence or evidence showing the bank's failure.
*. **Impact on the Borrower:**
- Explain how the bank's deficiency affected you financially and emotionally.
- Include any additional costs or penalties incurred due to the bank's failure.
*. **Attempts to Resolve the Issue:**
- Document any attempts made to resolve the issue with the bank before filing the complaint.
- Attach proof of communication, such as emails, letters, or meeting notes.
*. **Legal Grounds for the Complaint:**
- Cite relevant consumer protection laws or regulations that support your case.
- Reference any similar cases or precedents if available.
Make sure to organize these points in a clear and concise manner, supported by all necessary documents and evidence.
Would you like information
*. **Details of the Loan and Subsidy:**
- Clearly state the amount of the education loan and the expected interest subsidy.
- Provide documentation of the loan agreement and subsidy terms.
*. **Deficiency in Service by the Bank:**
- Detail the specific service deficiencies by the bank that led to the non-claim of the subsidy.
- Provide any correspondence or evidence showing the bank's failure.
*. **Impact on the Borrower:**
- Explain how the bank's deficiency affected you financially and emotionally.
- Include any additional costs or penalties incurred due to the bank's failure.
*. **Attempts to Resolve the Issue:**
- Document any attempts made to resolve the issue with the bank before filing the complaint.
- Attach proof of communication, such as emails, letters, or meeting notes.
*. **Legal Grounds for the Complaint:**
- Cite relevant consumer protection laws or regulations that support your case.
- Reference any similar cases or precedents if available.
Make sure to organize these points in a clear and concise manner, supported by all necessary documents and evidence.
Would you like information
*. In the Para no. *(B), the appellant/opp. Party submitted as a matter of
the fact that the issue raised by the complainant for the year *-*
and for the year *-* and the complaint has been filed on
*.*.*. Therefore, the complaint deserves to dismissed on this
ground itself.
Reply:-
• Sir, the process of claiming the education loan interest subsidy through
State Bank of India on the Canara Bank portal is lengthy, and it takes a
significant amount of time for the student/borrower to be informed
when the subsidy has been deposited into their account.
For example, the interest subsidy portal for the financial year *-*
was opened by Canara Bank between *.*.* and *.*.*, and
the subsidy for this period was credited to the student's account by
Canara Bank. The last installment of the interest subsidy was deposited
on *.*.*. Therefore, in this case, the cause of action arises from
*.*.*.
• The respondent/complainant visited the bank multiple times, and on
each occasion, the bank officials assured that the claim for subsidy would be processed again when the portal reopens the next year. The
bank was giving false hope regarding the interest subsidy claims,
promising that the portal would open in the following year.
According to the State Bank of India's letter dated *.*.*, in
response to the complaint on the captioned subject, they referred the
matter to their higher authority and assured that the complaint would
be resolved at the earliest.
As per the State Bank of India’s letter dated *.*.*, following a
complaint to the PMO/MOHRD, the SBI stated, "Upon further scrutiny,
we found that no claim of interest subsidy had been made for the years
*-* and *-*. The portal for previous periods is opened
occasionally by Canara Bank. When the subsidy portal for previous years
is opened, we will lodge the claim for the said period and credit your
account accordingly. We further assure you that interest on the subsidy
portion for the delayed period will also be considered accordingly."
As per the CSIS Scheme, "It is the sole responsibility of the lending bank
to claim interest subsidy on behalf of the eligible beneficiary on a yearly
basis. If any lending bank fails to claim the interest subsidy for the
current year, the backlog claim of interest subsidy will not be
entertained. In case of any delay in submission or non-submission of
claims by the lender bank to Canara Bank, the Department of Higher
Education is not responsible for such delay/non-submission of claims
and non-payment of interest subsidy."
If the backlog claim of interest subsidy is not entertained by MOHRD,
then why did the bank provide false information that the portal for
previous periods is occasionally opened by Canara Bank? Since the
financial year *-*, not a single time has MOHRD/Canara Bank
opened a backlog claim of the interest subsidy portal for the unreserved
and EWS categories.
A student’s primary objective is to focus on their studies during their
course period. When they apply for a scheme like the CSIS Interest
subsidy on their education loan, they expect the bank to process the
claim and deposit the subsidy amount into their account in a timely
manner. The student’s sole aim is to pursue their education without any
financial burden, and it is the bank’s responsibility to ensure that the subsidy is disbursed efficiently, allowing the student to concentrate on
their academic goals without any unnecessary stress or distraction.
Citations:
“This situation is similar to the case of Agnes D’Mello
V. Canara Bank (*) I CPJ * (NCDRC), where the bank gave a false
sense of hope to the complainant. In that case, the complainant
deposited some jewelry with the bank, which was subsequently lost by
the bank. The bank kept giving the complainant false hope of retrieving
the jewelry, putting her in a state of inaction. When the complainant
eventually filed a suit against the bank, the bank argued that the suit was
not maintainable as the limitation period had lapsed. However, the
commission reprimanded the bank and admitted the case. Similarly, in
the present matter, the bank's false assurances regarding the processing
of the interest subsidy claim should not prejudice the complainant's right
to seek relief.” arrange all point aac. To advocate language or legal way for written arguments
Certainly, **** ****. Here is the arrangement of your points in a legal manner for written arguments:
*. **Introduction:**
- The appellant claims the complaint should be dismissed as it pertains to issues from *-* and *-*, filed in *.
*. **Delay in Process:**
- The process of claiming the education loan interest subsidy through SBI on the Canara Bank portal is lengthy.
- Example: For FY *-*, the portal was opened between *.*.* and *.*.*, but the last installment was credited on *.*.*. The cause of action arises from this date.
*. **False Assurances by the Bank:**
- The respondent visited the bank multiple times and was assured that the claim would be processed next year.
- SBI's letter dated *.*.* referred the matter to higher authorities.
- SBI's letter dated *.*.* assured that the claim would be lodged when the portal opens again.
*. **Responsibility of the Bank:**
- As per the CSIS Scheme, it is the bank's
*. **Introduction:**
- The appellant claims the complaint should be dismissed as it pertains to issues from *-* and *-*, filed in *.
*. **Delay in Process:**
- The process of claiming the education loan interest subsidy through SBI on the Canara Bank portal is lengthy.
- Example: For FY *-*, the portal was opened between *.*.* and *.*.*, but the last installment was credited on *.*.*. The cause of action arises from this date.
*. **False Assurances by the Bank:**
- The respondent visited the bank multiple times and was assured that the claim would be processed next year.
- SBI's letter dated *.*.* referred the matter to higher authorities.
- SBI's letter dated *.*.* assured that the claim would be lodged when the portal opens again.
*. **Responsibility of the Bank:**
- As per the CSIS Scheme, it is the bank's
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