ORDER

Mrs. Neena Sandhu, Member - This is an appeal filed by the OP against order dated 3.9.2008 passed by District Consumer Disputes Redressal Forum-I, UT, Chandigarh (for short hereinafter to be referred as District Forum ) passing in complaint case No. 73 of 2008.

2. Brief facts of the case are that the complainants took housing loan of Rs. 13,00,000 from the appellant Bank which was to be paid in 96 EMIs of Rs. 17,724 per month @ 7% p.a (floating). The complainants submitted that as per letter dated 1.12.2004, the rate of interest would be reviewed at the end of three years from the date of final disbursement under the facility but the OP No. 2 intimated the complainant vide their letters dated 22.7.2005, 1.2.2006, 1.7.2006 and 20.1.2004 that the rate of interest has been revised to 7.5%, 8%, 9% and 9.5% respectively. This act of OPs in reviewing and enhancing the rate of interest of home loan before the expiry of three years from the final date of disbursement i.e. 8.12.2004 was totally unwarranted and amounts to deficiency in service. The complainants made representations dated 22.2.2006 and 28.3.2006 to the OPs and also made complaint to the Bank Ombudsman where the OPs agreed