A credit-card customer has alleged that HDFC Bank charged him more than ₹1,200 after he fell short of his ₹10,649.46 bill by just 46 paise. According to reports from Mint, Dr Samir Kagalkar paid ₹10,649 against the bill, leaving ₹0.46 unpaid. The customer took to social media to raise the issue, questioning why such a small shortfall had resulted in charges of over ₹1,200. In his post, he wrote, "Dear HDFC Bank. You sent me a credit card bill for INR 10,649 – 46 (paise). By error, I paid INR 10,649/-00 (missing out 46 paise). And you have slapped me with over INR 1200/- late payment charges, etc for a miss of 46 PAISE?" He also criticised the customer service of the bank, calling the representatives "as ignorant as they are arrogant" and asked the bank to reverse the charges, writing "Do you care to have this reversed ASAP?"
The Reserve Bank of India (RBI) has established clear guidelines for credit-card payment treatment. As reported by Mint, if a cardholder does not clear the total amount due by the payment due date, the interest-free credit period is lost. Interest may then be charged from the transaction date on the outstanding amount, after adjusting for payments, refunds and reversed transactions. RBI specifically clarifies that interest cannot be charged on the total amount due. Late-payment charges are treated separately, with card issuers allowed to report an account as 'past due' or levy penal charges only when the account remains past due for more than three days.
According to Aditya Gupta, founder and CEO of novio, credit-card systems generally account for very small payment differences. As reported by Mint, Gupta explained that a few paise, or even a few rupees, left unpaid is generally not treated as a conventional partial payment and would typically not attract interest or additional charges. However, he noted that the exact threshold can vary across card issuers, with small unpaid amounts not necessarily treated as partial payments. The distinction is important because finance charges and late-payment fees are separate components governed by card issuer terms and RBI rules.
RBI requires card issuers to specify in the billing statement the level of unpaid amount, beyond the minimum amount due, at which the interest-free credit period will no longer be available. As reported by Mint, this clarification is important because the total amount due, minimum amount due and outstanding amount are not interchangeable terms. For credit-card users, the amount appearing as a charge on the next statement needs to be read along with its breakup, as applicable interest, late-payment fee and taxes are separate components governed by card issuer terms and RBI rules.
The customer's complaint quickly drew significant attention online, with users reacting to the unusually small difference between the billed amount and the amount paid. While some cited RBI rules and regulations, others argued that the bank should not have charged such a large amount for such a minor difference. As reported by Viral News, one user suggested that "under RBI guidelines, an amount like ₹10,649.46 is rounded off to ₹10,649/- because any fraction below 50 paise is ignored & rounded down to the nearest whole rupee." Another individual commented that "this is a very good lesson for those who have started taking everything for granted," while others criticised the bank's customer service and suggested cancelling the credit card. The social media response highlights growing public scrutiny of banking practices regarding small payment differences.
