All credits paid, 19K still shown as due, bank pays

In 2026, Kotak Mahindra Bank was ordered to pay compensation of Rs 1.5 lakh after a Delhi consumer dispute commission ruled that the bank had charged a customer for a credit card balance he had already repaid. The dispute arose when the bank demanded Rs 19,788 from a Delhi resident who had purchased a Samsung television on his credit card and fully repaid the Rs 41,756.35 amount in 12 interest-free monthly instalments between June 2020 and May 2021.

The bank insisted on retaining a Rs 19,788.03 demand, which the consumer disputed and requested the bank to withdraw. However, the bank continued sending threatening messages and emails, warning that the customer's credit card would be blocked and his credit score adversely affected. The consumer then filed a legal notice, and the bank responded in kind, pressuring him to pay the demanded amount.

The District Commission dismissed the case in 2023, citing the consumer's failure to place the credit card e-statement on record to prove the bank's error. However, the Delhi State Consumer Disputes Redressal Commission overturned the District Commission's decision, finding that the bank had made an arbitrary demand without proper disclosure and had threatened the consumer's credit card and credit score.

The State Commission ordered Kotak Mahindra Bank to withdraw the demand of Rs 19,788.03 and pay Rs 1.5 lakh as compensation for mental agony, harassment, and litigation costs.