Suzuki Pakistan is withholding all KIBOR+3% compensation payments after June 2022 invoices

[kjohn_18]

Ma na b alfalah bank walo sa peche pr pr k nikalwaya ha. It took more than a month to get this compensation cheque from them.

[salman_w]

@kjohn_18 un ke arguments kia the compensation na dene ke peeche? were they just delaying or refusing outright like Meezan Bank?

[tariqazama]

I sent e mail to indus and enclosed my invoice copy. But no cheque received. Delivery was in november last year.

[kjohn_18]

Delaying tactics.....i still do not understand, they kept the cheque from suzuki in the name of customer and issed a new alfalah bank cheque in the name of customer. Illogical

[salman_w]

well, one email doesn't do much. I think you should have visited the dealership and asked them for it as well as they are the ones who will do the processing.

[salman_w]

So strange, What goes under the table is just out of understanding. I personally would have checked with the dealership and confirmed if the about Alfalah gave you is correct or not. At least you got the cheque.

[hassannabeel27]

we (Meezan bank) do on basis of Ijara agreement in which the bank owns the car and i only have usage rights. upon receiving this info. I told him that i don't care what type of agreement (technicality) it is

This is true - And this is the contract we have signed so technically there is nothing wrong they are doing. Car owner is bank and owners get late delivery penalty. You are renting car. And this penalty is also based on interest rate so it takes away the benefits of going with islamic banking.

[crema]

we (Meezan bank) do on basis of Ijara agreement in which the bank owns the car and i only have usage rights. upon receiving this info. I told him that i don't care what type of agreement (technicality) it is

This is true - And this is the contract we have signed so technically there is nothing wrong they are doing. Car owner is bank and owners get late delivery penalty. You are renting car. And this penalty is also based on interest rate so it takes away the benefits of going with islamic banking.

That is correct for Meezan bank and absolutely right for the predicted amount being returned to the owner, it is rent of the money the manufacturer is holding. So better to avoid it. If the law is passed as fixed pemalty amount per day then it may be lawful.

[salman_w]

Thanks for your reply. Sorry, i am a little confused, are you supporting my point of view of demanding compensation on what i contributed to the total amount paid to Pak suzuki? Or are they justified in having all the compensation for themselves? btw i paid 50% in advance so i deserve at least half of the compensation in my view.

[salman_w]

well, brother i think that although the vehicle is on their name but half of the money is my contribution and i should at least get half of the compensation. Also i have gone with Meezan because they offer fixed installment rates and i believe their fatwa system to be just covering the loopholes. It is banking and you pay the same money in both options, conventional or islamic. Technicalities are introduced and that effort is charged to customers in form of increased payment in comparison to conventional banking.
Moreover, my point talking to Meezan bank representative was that they should have disclosed these details earlier. Upon my asking they just postponed telling me until the booking was confirmed. That's deception my friend. Also as far as interest goes i believe KIBOR is there to cover inflation and country runs on it so you cannot operate your own financing system in an interest based system. Circular economy my friend.

[crema]

Thanks for your reply. Sorry, i am a little confused, are you supporting my point of view of demanding compensation on what i contributed to the total amount paid to Pak suzuki? Or are they justified in having all the compensation for themselves? btw i paid 50% in advance so i deserve at least half of the compensation in my view.

As you are comfortable to use that money so yes you can demand it.

But:

As per the Meezan terms they have the legit clause that you are not the owner of the asset hence you can not have that compansation. This is one term in the contract and as you are accepting other terms hence they will ask you to accept this clause and let the compensation be with bank. They would have taken your signatures on documents saying that you will abide the terms and conditions of the bank hence there are very slim chances that you get the compensation.

If the car is not booked, then change your bank to try the other terms that are more lenient towards the final owner of asset.

[salman_w]

I understand and agree with your point and that's the issue, The car is in booking since 30th April. Lets see what happens with this matter. I am going to try everything on this no matter what because i believe that the law by govt. by its spirit is for end users and by this type of agreement they are denied their right. If not for me maybe they will correct or amend it for others in future. Maybe i get an earlier delivery and avoid this mess altogether upon instigation of this matter.

[kjohn_18]

I agree with you. This compensation is for the end user or customer not bank. End user is suffering this late delivery not bank. There is absolutely no logic if Meezan bank keeps it and I m not sure if bank has any such clause regarding compensation bz this is happening very first time in Pakistan.

[salman_w]

Thanks for the support brother. I stay away from banks normally but what to do when small little cars are costing 20 lakhs. They have made banking rudimentary for everyone and these policies that help common people should be supported and followed. Fight for the right. Inshallah I will.

[hassannabeel27]

well, brother i think that although the vehicle is on their name but half of the money is my contribution and i should at least get half of the compensation

Well, everything goes down in black and white. In courts and law, only written agreements are acceptable. The half money you pay are with meezan bank as security deposit. Your agreement with them is that after completion of rental tenure, bank will sell you the car on price of that security deposit.

Good luck getting the money. Even meezan bank demands own money for ready delivery cars.

[salman_w]

Yes, they do ask for own money but thats for them to split in between themselves and the paksuzuki. Both the bank and Pak Suzuki are equally eating this haram bhatta. So much for Islamic banking.

[qasim.javed77]

Hi All,
Anyone has experience getting compensation from Alhaj, Proton ? on late deliveries, we have received cars after one year. What is the process to apply this compensation

[salman_w]

hi, Most people just email or ask the dealership. Some companies deliver cheques to home via email, by themselves. Hopefully someone who has had a recent experience with Alhaj can be more specific. cfbr

[salman_w]

Dear all,
I want to inform everyone that i had a recent conversation with Pak Suzuki at their customer service helpline, I was told that all the compensation cases after June 2022 invoice are under consideration my our concerned dept. The representative father told me that for this fiscal year policies may change so until we hear from the govt. the department will not take any decision. They must owe millions to their customers for late deliveries and now it feels like that they won't be paying up.
My questions to the seniors and experienced people here is that, Have the rules changed? Does the KIBOR+3% rule expire? Does anyone know regarding this ? Are the rules being changed now? if so, that means more bad news for the consumers. I want to at least tell all who are thinking they will get a compensation while the companies are in no mood to deliver the compensation.
I have written an email stating that i will proceed in a legal manner if i don't get a satisfactory reply. Lets see what they say. I am not too hopeful after the conversation i just had.
Dear @Moderator please pin this post so people can read this latest development and maybe somone can provide answers.

[pwuser164889473391]

Meezan labeld as islamic none of single bank is islamic in Pakistan nor dubai its back door ribba https://youtu.be/_krBHTJHApY plz listen this

Second u will receive compensation for sure why would u .. did u invested the money ? Nope bank did.. i remembered 4 moth delay compensation i received 40k in 2022