Many guidelines have been issued regarding credit cards. Out of this, many rules regarding billing, card issuance and credit card closure will be implemented from this month. These rules have been introduced by the Reserve Bank of India, which will provide better security and power between the cardholders and the issuer.
There is also a rule under a rule introduced by the RBI that if you have applied for closing the credit card and still your credit card has not been closed by the bank, then you will get Rs 500 per day from the bank. Will pay as fine. This rule has been implemented under Section 35A and Section 56 of the Banking Regulation Act, 1949.
In a notification issued on April 21, RBI had issued strict instructions to banks that if any bank or institution does not close the credit card even on the request of the customer, then it will have to pay a fine of Rs 500 per day. The provisions of these instructions relating to credit cards shall be applicable to all Non-Banking Financial Companies (NBFCs) except Payment Banks, State Co-operative Banks and District Central Co-operative Banks operating in India.
At the same time, RBI also informed that this rule will be applicable only when the credit card has been paid in full. The credit card will not be closed if there is still money in it or if the balance is to be deposited. Banks have to close the credit card within 7 working days, for more than 7 days, the bank will be fined, unless the account is closed.
It has been said by RBI that credit card customers should never make closure requests from the post office or speed post, as this process can be delayed. They can request closure at the branch or through online mode.