POSTED BY mvtech3 ON May 14, 2012 8:52 pm COMMENTS (4)

Recently below mentioned happened to I and my wife please guide us

On our visit to India in Jan we got thrilled to know that HDFC Bank is offering 9.5% interest rate on a Fix deposit scheme, I and my wife got excited and went to the closet branch to inquire regarding the same, upon arrival we were greeted by the Bank staff who showed ample amount of hospitality and we felt very comfortable investing our money in form of Fix Deposit. We were called in a day after with all our paperwork and a new account was opened while I had an existing account in Sec 17 Gurgaon. I was kind of confused on why this new account is being opened but I kept my mouth shut because I was very excited about the 9.5% interest rate on 1 CR FD.
Next day on our shopping trip to Mohali I got an opportunity to visit Phase 7 HDFC bank where I was greeted by the manager and subordinates and I felt very welcomed. While discussing about the FD the bank manager introduced me to one of his subordinates and they both babbled about opening a Crest account with HDFC bank. They assured me fix returns and assured me that I will make way more money in next 5 years than I will make in a FD.
My situation is this that I didn’t want to risk any money because my daughter is going to college in 5 years and this money was to be used for her education, I presented my concern to the manager and he assured me the following.
1. We will get a Crest account @ 9.37 per unit for next 5 years.
2. On 5th year either I take my money and walk away with 15 Rs per unit or I wait for 7 years and get the benefit of max NAV which could reach 22 per unit.
3. Upon receiving the jolly good news I asked him about the fee associated with it. I was told 4% for 1st and 2nd year, 3% 3rd year and 2 % for last 2 years.
I got very excited and asked him to write everything on a piece of paper and give it to me so I have a quick note if someone asks me, the total calculation after 5 years of FD and Crest came out be 1 Cr and 71 lakhs which included my initial amount of 1cr in FD decreasing 20 lakh each year.
After coming to USA I got my CREST papers checked from a learned person because I had a suspicion that something was fishy after watching a clip on YouTube.

I feel very CHEATED and depressed by the lies told to us by your organization employees for a small commission.
• I was told that I will buy units @ 9.37 for next 5 years not as per going NAV.
• I was told after 5 years I can with draw @ Rs15 per unit ,Not after 10 years
• I was told after 7 years I can withdraw my money to the greatest NAV which is expected to reach 22 . That’s a total LIE
• I was told there is a TAX benefit. But they didn’t tell me laws can change any time
• I was told following fee will be deducted 4% for 1st 2 years, 3% for year after and 2 % for last 2 years. But skipped all other fee.
• I was promised 71 lakhs after 5 years if I get FD and Crest together
• I was told free insurance is provided with Crest account to attract customer but didn’t tell me there are hidden charges.
• My wife had to go through a intense MEDICAL CHECKUP but your websites says we don’t have to have medical.
• I was not told about the maturity date of 10 years.
• I was not told about the Risk/Mortality charge, Policy administration charge, Investment guarantee charge, fund management charge, all this charges come to Rs2 lakh and 48 thousand.
• The paper work came after few days to USA while we were still in India.
I have a disability which limits my capabilities to live a normal life like you or anyone else, this money was solely for my daughter’s education which somehow went into wrong
hands,for a mere amount of commission they have put I and my wife into a situation which will put us in lots of heart breaks if this is not resolved promptly.
Kiran Dhanota and Major Raj Singh (Retired)

4 replies on this article “CREST HDFC PLAN MIS INFORMATION”

  1. bharat shah says:

    if it is really written on piece of paper by the bank manager or the person concerned of hdfc bank branch about the wrong information of the plan, i think, the top management of hdfc bank must hear your complaint in the matter, and do justice to you , and /or punish their people for misleading the bank customers and tarnishing image of hdfc . try your best with hdfc top management. wishing you good luck.

  2. Dear Kiran Dhanota and Major Raj Singh (Retired), some more shocks for you people, the prem. you paid was only the first one & in future you w’d have to pay more prem. In my opinion, contact insurance ombudsman’s office either in Chandigarh as the policy was purchased from there or from the area of your residence. I know sitting in US & fighting in India is not easy but you have to fight it out as it was your hard earned money.

    Also please write a mail to HDFC bank & complain the whole thing there also.

    Practically, you do not have any chance to get your money before 5Y, as even if you decide to stop this policy right now, the policy ‘ll be stopped but as per T & C of the policy, the surrender amount ‘ll be made available only after 5Y & that too after deducting surrender charges.

    Life is tough, all I can say & specially when we are getting pampered (like you people were initially treated by HDFC bank staff).

    One last option is to file a criminal case of cheating & breach of trust against the staff of HDFC bank if any how possible to you.



  3. All I can say is that you should have not trusted the bank so much and enquired about it first over internet and with some of your trusted network who you feel know this stuff . There was no need to divert from your original decision .

    I can see you were saying “I was happy and excited” , I am sorry to say , thats a real problem . The way things are shown to us that greed and fear directs our decision.

    I am sure whatever you took in writing from any person was on a plain paper and not on a HDFC head letter with company seal .

    If you bought what you didnt understand , this is bound to happen .

    How many days passed since you got this policy ? If its less than 15 days , you can return it in free look up period . And Just to let you know , this is a HIGHEST NAV product , which just got BANNED by IRDA just few days back (after you bought it)

    As justgrowyourmoney said above , better try to find a good exit point and take it as learning . I know its costly one !


  4. Dear Kiran Dhanota and Major Raj Singh (Retired),

    I really sympathize and empathize with you for this misselling you have been exposed to. I hope you understood the returns correctly from the agent. In any case – tough luck Sir. There is absolutely nothing you can do now to recoup. If any thing is too good to be true in finance chances are it is.

    All guaranteed minimum plans, in general, have pathetic returns so pumping more ‘may’ not make sense. There is a product brochure that comes with each product. I only wished you read it before taking the plan and also tried to read about the plan elsewhere like you saw in Youtube now. Kindly don’t take this personally – that – you came here for a solution and you are being berated for taking the policy. Mis selling a policy DOES NOT HAPPEN without Mis buying. A Tax free NRE FD at 9.5% is one of the best NRI investments – No sweat, no anxiety for such an easy return.

    It will be prudent to find out the ideal exit point from this plan sooner.

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