The All Kerala Distributors’ Association (AKDA) has come out strongly against the banks in the state for allegedly imposing hidden charges on current and overdraft accounts operated by the trading community in the state.
B Mohanan Nair, president, AKDA, said the banks in the state had been unilaterally imposing charges on the trading community who hold accounts with them.
“Earlier, this used to be the case with many of the new generation banks. However, the trend has caught up with nationalised banks too. Traders who hold current and overdraft accounts and do business with them are being charged with many hidden charges, without even being explained as to what the charges meant. This is a measure that calls for condemnation,” Nair said.
Elaborating on the banks’ practice of collecting charges citing a variety of reasons, Nair said, “The banks are even collecting charges for counting currency notes, which the account holders have already counted before depositing in their accounts.”
He said the banks were also charging close to Rs 150 for a 50-leaf cheque book that the traders use for cash withdrawals. “These practices call for a statewide protest. The banks have also imposed a 50 per cent increase on folio, renewal, cheque return and cheque clearing charges,” he added.
Pointing out that the AKDA is considering the matter seriously, Nair said the association’s working committee had recently met to study the situation and chart out an action plan against such a trend.
He added that the association members would seek the support of like-minded traders’ bodies to begin an agitation against the practice of banks to levy additional and hidden charges on accounts operated by the trader community.
