Central Information Commission
Mrs.Shanti Rajoria vs Reserve Bank Of India on 9 February, 2012
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Decision No. CIC/SG/A/2011/003608/17259
Appeal No. CIC/SG/A/2011/003608
Relevant Facts emerging from the Appeal
Appellant : Mrs. Shanti Raoria
6 , Sarthi Parisar, Suresh Nagar,
Gwalior --474011
Respondent: : Mr. Deepak Singhal
Public Information Officer & CGM-in-Charge Reserve Bank of India, Department of Banking Operation Shahid Bhagat Singh Marg, Fort, Mumbai-400 001 RTI application filed on : 25/07/2011 PIO replied : 12/08/2011, 25/08/2011, 11/10/2011 First appeal filed on : 22/08/2011 First Appellate Authority order : 29/09/2011 Second Appeal received on : 1 4/12/2011 Information Sought:
Various Categories for charging different Rate of Interest on Home Loan (1) Slab of Loan Amount:-
(a) Upto Rs 3 Lakhs
(b) Rs 3 to 4 Lakhs (c) Rs 4 to 5 Lakhs (d) Rs 5 to 10 Lakhs (e) Rs 10 to 20 Lakhs (f) Rs 20 to 50 Lakhs (g) Above, Rs 50 Lakhs Or in any format ICICI Bank maintained /prescribed the Slab of Loan Amount.
(2) Regions of Loan Disbursals :-
(a) Metro Cities - Like Mumbai, Delhi, Kolkata , Chennal etc;
(b) Tier Two Cities - Like Pune , Bangalore, Hyderabad etc;
(c) Tier Three Cities -- Like Indore, Bhopal , Jabalpur, Lucknow, Agra etc;
(d) Tier Four Cities - Like Gwalior, Ratlam , Jhansi , Jalgaon , Amritsar etc;
(e) Tier Five Cities -- Like Morena ,Ujjain ,Khandwa, Bhusawal, Katni etc Or in any other Form of the locations depending upon Population /Area etc of the locations or Regions or States , as the case may be , in which manner ICICI Bank Ltd prescribed and maintained the Record of Home Loan and charged the. Rate of Interest.
(3) Status of Individuals of India Origin for sanction of Home Loan
(a) Salaried - Central / State Government;
(b) Salaried -- Public Sector
(c) Salaried -- Private Sector
(d) Self Employed;
(e) Businessman;
(f) Artists, Athletics, Writers etc of National Level
(g) Public Representatives -- M. P. S, M. L. A. s etc;
(h) Group of 25 or more Persons.
Or any other Format Prescribed and maintained by the ICICI Bank Limited Page 1 of 4 (4) Other Information required
(a) Whether Rate of Interest for various categories are decided by ICICI Bank Ltd or as per the directives of the Reserve Bank Of India.
(b) How often the Rate of Interest on Home Loan were revised in the last decade;
(c) The approximate Time Taken for Returning Original Documents of the Properties mortgaged with ICICI Bank for availing Home Loan, after completion of Repayment of Home Loan;
(d) Whether ICICI Bank Ltd , being Holding Company of the Subsidiary Companies managing / arranging Home Loan , Auto Loan , Personal Loan etc. is Shouldering absolute responsibilities for their functional activities including Loss and Profits .
Reply of the Public Information Officer (PIO):
CPIO Reply Dated: 12/08/2011 Lending Rates of ICICI Bank End BPLR Base rate* March 2003 10.50-12.50 -
2004 10.00 - 2005 11.00 - 2006 12.75 - 2007 14.75 - 2008 15.75 - 2009 16.75 - 2010 15.75 - 2011 17.50 8.75 June-2011 17.50 9.25 Introduced from July 1, 2010 : Not applicable
Bank-wise information (including that of ICICI Bank) on lending rates prior to end-March 2003 is not available with us. With regard to interest rate on housing loan, t may be stated that this information is made available to the Reserve Bank in its fiduciary capacity and, therefore, it may not be possible to part with such information under section 8 (1) (e) of the RTI Act, 2005. Furthermore, information on housing loan at the disaggregated level as sought by you is not available with us.
In continuation of above reply: Dated-25/08/2011.
Sr no. Queries Replies
3(A) PLR, Base Rate and Interest rate We have no information to furnish in this regard.
charged on Home Loan under Floating However please note that As regards Scheduled Commercial
and Fixed Rate separately. For various Banks, with effect from October 18, 1994 RBI had deregulated the
categories V during various periods and interest rates on advances above Rs.2 lakh and these interest rate
for V existing' and new borrowers by were determined by banks 'themselves with the approval of their
the ICICI Bank Ltd. Boards, subject to Benchmark Prime Lending Rate (BPLR)and
Spread guidelines. Individual banks therefore determined interest rates charged to a particular borrower subject to BPLR and Spread 'guidelines. Interest rate on Loans up 'to Rs.2 lakh carried the prescription of not exceeding the BPLR. However, banks had the freedom to determine the rate of interest, without reference to BPLR and regardless of size in respect of loans for purchase ofconsumer durables and other non-priority sector personal loans including credit cards dues.
The above guidelines based on the BPLR system have been replaced. By new guidelines Of the Base Rate system issued vide circular No. DBOD. No. DIR. BC.88/ 13.03.00/ 2009-10 dated April 09, 210 which have come into force with effect from July 01, 2010. In terms of the .new guidelines, banks will determine Page 2 of 4 their actual lending rate on loans and advances with reference to the. Base Rate. All categories of loans, including home loan, will be priced only with reference to the Base Rate, which will be announced by banks after seeking approval from their respective Boards. Since the Base Rate will be the minimum rate for all loans, banks will not be permitted to resort to any tending below the Base Rate. Accordingly, the current stipulation of BPLR as the ceiling rate for loans up to Rs. 2 lakh has been withdrawn.
We have also requested our Monetary Policy Department (MPD) to furnish you the requisite information regarding PLR if any, available with them 3(B) Set up of' mechanism provided for You may lodge complaint with the branch of concerned' bank or redressal of grievances. disputes its controlling office. If your complaint is not redressed within one pertaining to home loan by the ICICI month, complaint can be made to Banking Ombudsman, under the Bank Ltd. Banking Ombudsman Scheme, 2006. The details Of the Banking Ombudsman Scheme are available on RBI's website www.rbi.ora.in 4(a) Whether rate of interest for various Pease refer to our reply at Sr. No. :3(A) above.
categories are decided by ICICI Bank Ltd. or as per the directives of the RBI?
4(b) How oftenly the rate of interest on In view of our reply at Sr. No. 3(A) above, we have no home loans were revised in the last information to furnish. decade?
4(c) The approximate time taken for The management of loan sanctioning activity, in a bank is returning original documents of the essentially an internal management function and each bank's properties mortgaged with ICICI Bank Board is authorized to frame suitable policies. . Banks have been Ltd. for availing home loan, after advised to prepare a well-defined loan policy approved by their completion of repayment of home, Board of Directors which should lay down exposure limits to loan? individual/ group borrowers, documentation standards (including return of documents), sectoral exposure limits, delegation of powers, maturity and pricing policies, factors taken into consideration for deciding interest rates etc. 4(d) Whether ICICI Bank Ltd. being holding What is being sought by you is an opinion to be formulated by us company of the subsidiary companies which is not "information" as defined under RTI Act 2005. managing/arranging home loan, auto loan, personal loan etc., is shouldering absolute responsibilities for their functional activities including loss and profits?
CPIO's Reply After FAA's Direction:
Interest Rate on Home Loan of ICICI Bank End-Month Range of Range of Interest Interest Rate Rate at which 60 per cent or More business has .been contracted min max Min Max Jul-2010 700 14.50 8.50 12.50 Aug-2010 6.00 8.74 7.00 8.74 Sep-2010 8.75 11.75 8.75 11.75 Page 3 of 4 Oct-2010 7.00 14.50 8.00 12.50 Nov-2010 7.00 14.50 8.00 12.50 Dec-2010 7.00 15.00 8.00 12.50 jan-2011 7.00 15:50 8.00 12.50 Feb-2011 7.00 15.50 8.00 12.50 Mar-2011 7.00 15.50 8.00 13.00 Apr-2011 7.00 15.50 9.00 13.50 May-2011 7.00 15.50 9.00 14.00 Jun-2011 7.00 16.00 9.00 14.00 It may be noted that the required information before July 2010 is not available with us as RBI started collecting this information following the introduction of the Base Rate system effective July 1,2010.
If you desire to prefer an appeal against this reply, the same may be preferred within 30 days of receipt of this letter to Shri V. S. Das, Executive Director, Reserve Bank of India, Shahid Bhagat Singh Marg, Fort, Mumbai -400 001.
Grounds for the First Appeal Incomplete and unsatisfactory information provided by the PIO.
Order of the First Appellate Authority (FAA):
FAA gave direction to CPIO to provide required information and disposed off the appeal.
Grounds for the Second Appeal:
Incomplete and unsatisfactory information provided by the PIO.
Relevant Facts emerging during Hearing: The following were present Appellant: Absent;
Respondent: Ms. Jonaki Sain, Dy. Legal Advisor on behalf of Mr. Deepak Singhal, Public Information Officer & CGM-in-Charge on video conference from RBI-Studio; The Respondent states that all the information available on the records ahs been provided to the Appellant which appears to be correct.
Decision:
The Appeal is disposed.
The information available on the records appears to have been provided. This decision is announced in open chamber. Notice of this decision be given free of cost to the parties. Any information in compliance with this Order will be provided free of cost as per Section 7(6) of RTI Act.
Shailesh Gandhi Information Commissioner 09 February 2012 (In any correspondence on this decision, mention the complete decision number.)(SH) Page 4 of 4