The Calcutta High Court mandated IndusInd Bank to refund 50% of the processing fee, holding a negotiated settlement consistent with RBI guidelines.
Calcutta HC Directs Refund of Processing Fee by IndusInd Bank
The Calcutta High Court has directed IndusInd Bank to refund 50% of the processing fee charged to a borrower, aligning its directive with the Reserve Bank of India’s negotiated settlement guidelines. The Court maintained that its directions were limited to the maintainability of the writ petition.
In the judgment, the Court specified that the claim for the remaining 50% processing fee must be raised before the appropriate civil forum, thus leaving further avenues open for the borrower.
This ruling highlights the judicial support for consumer rights in banking transactions, urging financial institutions to adhere to fair practices and ensuring borrowers are not subjected to undue charges.
Citations
- Calcutta HC Order (2026)
