RIGHT TO PRIVACY AS CREDIT CARD USER

RIGHT TO PRIVACY

Say, if a card issuer issues a card in your name without your consent and charges you for the issuance of card, the issuer will have to reverse the amount and also pay a penalty. Card issuing institutions need written consent from the person in whose name the card is being issued before issuing a credit card.

Also, in case there is misuse of the card for which you have not given a written consent, the issuing bank will be liable for payment of loss and not you.

Apart from that, the card issuer should also seek consent before enhancing the credit limit and any changes made to the prior agreed terms and conditions should also be communicated.

CUSTOMER CONFIDENTIALITY

Under this clause, the card issuing authority cannot use personal information provided by you for any other purpose.

Card issuers should also not share these details with any other organisation for promotional purposes.

Also, the card issuer should inform the customer that her credit history is being passed on to credit information bureaus. Also, before a customer is pronounced as a defaulter by the card issuer to credit bureaus, she should be informed about it and adequate time should be given to her to settle the issue.

WHAT SHOULD YOU DO?

If any of the above mentioned privileges are breached, you should first inform the bank and try to get the issue sorted out. In most cases, banks do the needful. However, if you face problems, you can approach the banking ombudsman.