The Hyderabad District Consumer Disputes Redressal Commission has directed the State Bank of India (SBI) to pay a retired scientist over Rs 15.35 lakh after finding a deficiency in service for failing to inform him about the deposit’s maturity and the available extension option. The man’s deposit matured in December 2023, but he later found that the bank’s online portal showed a new maturity date in December 2028 with zero per cent interest.President M Ramgopal Reddy, along with D Sreedevi and J Shyamala, was hearing the complaint filed by a man who claimed that he invested Rs 15 lakh in a fixed deposit with the sole intention that this would help in old age to meet any contingencies that may arise. “There is deficiency in service on the part of the opposite party (SBI) for not intimating the complainant regarding the maturity of the fixed deposit and also for not informing the extension of the FD for another term of 3 years,” the commission said on October 7. FD renewed at zero per centThe man claimed that he had invested a sum from his retirement benefits in a Fixed Deposit Receipt (FDR) on December 13, 2018 for Rs 15 lakhs under the senior citizen savings scheme, having an interest rate of 8.5 per cent. The fixed deposit has a maturity date of December 12, 2023, which can be renewed for a further five years. According to the man, upon maturity on December 12, 2023, SBI failed to honour the agreed terms by not intimating him about the maturity of the fixed deposit, nor remitting the due amount to his savings bank account. The complainant claimed that he was under the impression this fixed deposit might have been renewed automatically. He added that on the SBI portal, the new maturity date was displayed as December 12, 2028 and the interest rate as 0 per cent. On seeing this, the complainant approached the bank, which informed the complainant that this scheme belongs to the Government of India and it is not possible for them to give any interest after the maturity date, though the money is not returned to him.The bank also allegedly told him that he could have extended the deposit by applying within one year of its maturity.Story continues below this adThe man claimed that this was a lapse on SBI’s side and, while depositing the amount, they never mentioned that it is a government scheme, nor did they bother to communicate by any means about the maturity of the fixed deposit. Aggrieved, he moved the commission alleging deficiency in service and unfair trade practice on the part of SBI. He was represented through advocates CH Govardhan Rao.SBI’s defenceSBI, through advocate M A Madhumathi, argued that upon maturity on December 12, 2023, in the absence of any instructions from the complainant, the fixed deposit amount was retained in the account as per scheme guidelines. The bank denied any obligation under the senior citizen savings scheme rules to mandatorily intimate the depositor about maturity via SMS, email, or other means, though it added that the bank has a practice of sending reminders where contact details are updated. Regarding the portal display showing a maturity date of December 12, 2028 with 0 per cent interest, the bank claimed it to be a technical glitch in the online portal, which does not alter the actual status of the account.Story continues below this adAfter going through the facts of the case, the commission directed SBI to pay the Rs 15 lakh deposit with interest at 8.5 per cent up to the contractual maturity date and interest at the applicable savings deposit rate thereafter until payment.The bank was also directed to pay Rs 25,000 as compensation for inconvenience and mental agony, and Rs 10,000 towards litigation costs.TakeawayThe ruling highlights that a bank’s failure to inform a depositor about a fixed deposit’s maturity and the available extension option may amount to deficiency in service, depending on the facts of the case.Aggrieved consumers may contact the consumer helpline in their respective states (Telangana: 0771-2582902) or call the National Consumer Helpline at 1915 for assistance.Story continues below this adDon’t miss out on these stories:‘Refund denied’ after switching son’s school for cricket academy, father wins Rs 2.2 lakh‘Europe job’ promise fails, Kerala man wins Rs 3 lakh from consultancy, travel firmEngineer father’s parcel to daughter goes ‘missing’, courier firm told to pay Rs 41,000