Home Loan higher rate of interest charged from me
I was sanctioned Home Loan amounting to Rs.3,00,000.00 (Rs. Three Lac only) by ICICI Bank in September, 2001. As per Agreement I was supposed to pay 180 EMI"s of Rs.3,769/- per month applying interest @ 12.50% per annually. No where term for rate of interest is mentioned fixed or floating. The clause on rate interest in Agreement says:
INTEREST:
The rate of interest applicable to the saod loan as at the date of execution of this agreement is as stated in the schedule.
Provided that in an event ICICI increases the interest rate prior to the disbursement of the full loan the weighted average of the different interest rates shall be applicable to the loan forthwith from the date of such increase.
Provided further that from time to time ICICI may in its sole discretion alter the rate of interest suitably and prospectively if unforeseen or extraordinary changes in the money market conditions take place during the period of agreement and thenceforth the rate of interest varied as aforesaid shall be applicable to the said loan.
The agreement was signed by me. Afterward knowing about floating rate, switch over facility, balance transfer etc. and benchmark/ base rate directives from RBI I personally visited Home Loan Branches of ICICI in 2003 Delhi, in 2007 Bangalore and again in 2010 Delhi to switch over my Home Loan from fixed rate to floating rate. I was assured verbally by the Bank Officials that floating rate will applied and effectively the number of EMI"s will be decreased from 180 to any number when the full amount of loan will be recovered.
They have not done so I have been exchanging emails with their concerned officials but they are not ready to refund excessive interest and EMIs charged from me.
Please advise about further action to be taken. Should I approach Banking Ombudsman of RBI or consumer court.