Bajaj Finance Scam

My Experience with Bajaj Finance OD Loan

4 months ago, people from Bajaj Finance kept calling me and asked me to take an overdraft (OD) loan. At first, I clearly said I don’t want any loan.

But they continued calling me every day again and again. Somehow, they convinced me to take the OD loan.

They asked for all my details like PAN, Aadhaar, etc. But they did not clearly explain the hidden charges. They offered me a maximum loan of ₹10 lakh. After taking the loan, they deducted many charges like:

• 8 years OD charges
• Insurance charges
• Processing fee

In the end, I had to bear all these costs from my pocket. If not, I had to pay interest on the amount.

Even when I paid everything and did not use the OD amount, they kept calling me and pressured me to use the money. If I don’t use it, they ask me to close (foreclose) the loan, and the foreclosure charges are around ₹50,000.

This was my experience. Please be careful before taking an OD loan from Bajaj Finance.

How to Protect Yourself When Taking Loans

Consumer lending in India has expanded dramatically in the last decade, bringing genuine convenience alongside genuine risks. Before signing any loan agreement — whether from Bajaj Finance, any NBFC, or a bank — the following steps will help protect you from unpleasant surprises.

First, always read the full loan agreement before signing, not just the headline interest rate. The key numbers are the Annual Percentage Rate (APR), which includes all fees and charges, and the total cost of credit over the loan term. A loan advertised at 12 percent per annum may cost significantly more when processing fees, insurance premiums, and prepayment penalties are factored in.

Second, never agree to insurance products bundled with your loan unless you have read the policy and genuinely want the coverage. Bundled insurance is a significant source of hidden cost in consumer lending. You have the legal right to refuse bundled products in India.

Third, download or take a screenshot of your repayment schedule on the day you take the loan. This protects you if disputes arise later about what was agreed. Keep all loan documentation, including the sanction letter, repayment schedule, and any communication about charges or changes to terms.

If you experience issues with any lender — whether hidden charges, harassment from recovery agents, or errors in your credit report — you can file a complaint with the Reserve Bank of India's Complaint Management System (cms.rbi.org.in) or approach the Banking Ombudsman. Know your rights as a borrower. They are more substantial than most lenders will tell you.