SBI, other bank customers: Save money, stop sharing debit cards with relatives, friends; Heres why
Bank ATM transaction alert: Often we do not hesitate to share our bank ATM card and PIN with our loved ones to withdraw money. However, this practice can go horribly wrong
Bank ATM transaction alert: Often we do not hesitate to share our bank ATM card and PIN with our loved ones to withdraw money. However, this practice can go horribly wrong sometimes and prove very costly. A couple learned this hard lesson in Bengaluru after their claims were rejected by a court this year. They got a lesson, that should alarm other bank customers across the country as well.
What happened
The incident actually happened in November 2013. Vandana, a resident of Marathahalli in Bengaluru, had given her bank ATM card to her husband, Rajesh, to withdraw Rs 25,000 from a local SBI ATM. When Rajesh swiped the card at the ATM, he received a slip saying the money was debited. However, the amount was not dispensed by the machine.
Rajesh then called the SBI call centre but he was informed that it was the fault of the bank ATM and the money would be reverted to the account in 24 hours. He submitted a formal complaint at the bank branch after the money was not reverted as told by the customer care executive. The bank, however, closed the case, saying the transaction was correct and the customer had received money.
The couple managed to obtain the CCTV footage showing no cash being dispensed when Rajesh had used the ATM. The couple again lodged a complaint with the bank. However, SBI investigation panel ruled that the cardholder herself was not seen in the footage!
Vandana had approached the district consumer disputes redressal forum in October 2014, alleging that the bank didn't refund Rs 25,000 that she had lost in an ATM transaction. The woman said that she had asked her husband to withdraw the money as she couldn't move out of home because she had just given birth.
The woman also managed to get a cash verification report through RTI that showed an excess of Rs 25,000 in the ATM on the day Rajesh had made the failed transaction. They submitted the report in the court, but SBI countered.
After three-and-a-half years, the court ruled in May this year in favour of the bank.
What Vandana should ideally, have done
The consumer court said that instead of sharing the ATM card and PIN, Vandana should have given a self-cheque or an authorisation letter to her husband allowing him to withdraw Rs 25,000.
Lesson for you
As per banking rules, it should be clear to all that a bank ATM card is non-transferable. Only the account holder should use the card under all circumstances. It is also clear from the court ruling that you should never share your ATM card and PIN with your relatives, or anyone else. Instead, you can give the cheque or an authorisation letter.
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