The Delhi State Consumer Disputes Redressal Commission has directed the State Bank of India (SBI) to pay ₹1.7 lakh to a customer for failing to deduct car loan EMIs despite the availability of sufficient funds in her account. The commission held SBI responsible for deficiency in service after the bank dishonored 11 EMIs and charged bounce fees to the customer, Chhaya Sharma, a resident of Karawal Nagar.

Sharma had a savings account with SBI's Karawal Nagar branch and had taken a car loan of ₹2.6 lakh from HDFC Bank, which was to be repaid in 48 EMIs of ₹7,054 each through the Electronic Clearing System (ECS) from her SBI account. Despite having an adequate balance in her account, 11 EMIs were returned, with three marked as "insufficient funds" and eight as "invalid account". SBI also levied ₹4,400 as bounce charges.

Sharma complained that her account statements clearly showed sufficient balance at the time of the EMI deductions, yet the payments were dishonored. She stated that despite repeated visits and representations to bank officials, she did not receive a satisfactory explanation or resolution from SBI. Consequently, she approached the district consumer forum, seeking correction of the bounce entries, a refund of ₹4,400, and ₹10 lakh as compensation for mental harassment and inconvenience.

The district forum had initially dismissed her complaint, stating that the issue involved technical aspects under the Reserve Bank of India's ECS guidelines and concluded that there was no deficiency in service or liability on the bank's part.

However, the Delhi State Consumer Disputes Redressal Commission overturned the district forum's decision. The state commission, on October 9, 2025, directed SBI to pay Sharma ₹1,50,000 for mental agony and ₹20,000 towards litigation expenses. The order also stated that a 7% interest would be applicable if the payment is delayed. This decision highlights the importance of banks ensuring the proper functioning of their ECS systems and addressing customer grievances promptly.