ICICI bank is going forward with a tool to empower them which allows to collect defaulters credit card payments from the employer. Its a situation were the employees would not be able to get a hold nor object with the deduction of the default payment dues at source. The move which is now made by ICICI would be backed by the rest of the banks. This is stated with the new clause stated in the terms and conditions. There is no law which bars a bank from such a move, the move is expect to effect only the people who make defaults with their credit card payment.

“With this clause, ICICI Bank is now “entitled and authorised to contact and require the card holder’s /card member’s employers to make deduction/s from the salary/wages payable by the employer to the card holder/card member and to remit the same to ICICI Bank until all of the card holder/card member dues outstanding from the card holder/card member to ICICI Bank is/are completely discharged. Besides, as per the new clause, it would be the bank which would decide upon the quantum of the deduction. “The deductions shall be of such amounts, and to such extent, as ICICI Bank may communicate to (and instruct) the card holder’s /card member’s employers,” says the revised terms and conditions of the bank.

“The card holder/card member shall not have, or raise/ create any objections to such deductions. No law or contract governing the card holder/card member and/or the card holder’s /card member’s employer prevents or restricts in any manner the aforesaid right of ICICI Bank to require such deduction and payment by the card holder’s /card member’s employer to ICICI Bank,” it adds. The revised credit card terms and conditions, after incorporating the new clause, have come into effect from July 23, 2009.”

Related posts:

1. Any ATM Any Card- You can have it free
2. Credit cards How Useful are they ?
3. Taking a loan with your credit card
4. Lost Credit Card – What Next?
5. Know Your Credit Card Statement