Keep tab on your account, banks may debit for service charges without an alert

Do you keep a tab on your bank transactions? Else be warned. Your banker might have debited your account towards some due that you probably will take note of only at a later date...

Take the case of this customer – Murthi for instance...

When he received a text (SMS) from his bank, greeting him on his birthday, he was quite pleased about the gesture. Only later did he realise that the same bank had been debiting a sum of Rs 112 month after month from his account since November last.

And of this charge, he did not receive any alert.

Murthi was curious. He approached his banker and sought details.

He was informed that the charge was levied “for not maintaining the minimum balance'' in his account.

He asked the clerk at the counter ''you don't fail to greet the customer on his birthday or wedding anniversary. I get an alert when I draw cash from an ATM, or swipe the card at any Point of Sale. That's fine. Why not send an alert when you levy a charge?”

The staff tried explaining to the customer that he was charged for not maintaining the minimum balance of Rs 1,000 in his account, after taking note that he had an ATM card, but the customer sought explanation for not sending an alert for charging his account.

Murthi is not alone. A good number of customers voice concern about the lack of communication from banks on such levies.

Banks for instance revise the service charges now and then. While state-run banks display the change on their notice board within the branch – which may or may not be noticed by the customer walking into the branch, some old private banks text their customers to inform them that a revision has been effected and the same - made available on their web site.

Select bankers we spoke to said that alerts were sent only when the levy was in excess of Rs 1,000. ÁTM withdrawals and POS transactions are different,' the staff of a state-run bank said.

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