Terms and Conditions for Karnataka Bank’s
Karnataka Bank shall endeavour
to provide to the Customer, the Karnataka Bank RTGS Facility –
"MoneyQuick" (as defined hereinafter) subject to the Terms and
Conditions herein specified.
In these Terms and Conditions
the following words and phrases shall have the meanings set opposite them
unless the context indicates otherwise:
RTGS facility offered by Karnataka Bank.
Internet Banking facility offered by Karnataka Bank.
“RBI” means the Reserve Bank of India.
"Account(s)" refers to
the Customer's bank account(s) maintained with Karnataka Bank, to be used for
payments through RTGS, in addition to regular banking operations.
“Business Day” for any
branch/office of Karnataka Bank shall mean a day other than (i) Sunday and any
public holiday (ii) a day on which RBI does not provide RTGS, or (iv) a day on
which normal business cannot be transacted due to storms, floods, bandhs,
"Customer" shall mean
the applicant/remitter availing MoneyQuick facility.
"Bank" means Karnataka
Bank Limited, a company incorporated under the
Indian Companies Act, 1913 and
having its registered office at Mahaveera Circle, Kankanady, Mangalore –
575 002, herein after called the Bank, (which expression shall, unless it is
repugnant to the subject or context thereof, include its successors and
“Regulations” shall have the
meaning given to that term in clause 2 of these Terms and Conditions and shall
include RTGS (Membership) Business Operating Guidelines, 2004 and RTGS
(Membership) Regulations, 2004.
"RTGS" means the Real
Time Gross Settlement System of RBI.
“RTGS (Membership) Business
Operating Guidelines, 2004” shall mean the Real Time Gross Settlement System
Business Operating Guidelines, 2004 issued by RBI, and any
amendment/modification of the same from time to time. “RTGS (Membership)
Regulations, 2004” shall mean the Real Time Gross Settlement System
(Membership) Regulations, 2004 issued by RBI, and any amendment/modification of
the same from time to time. Hereinafter the above guidelines and regulations
will be collectively referred to as the “Regulations”.
application or RTGS Request" means an unconditional instruction issued by
the Customer to the Bank, in form, manner and substance as Bank may prescribe
or require including Internet Banking channel, to effect a funds transfer for a
certain sum of money expressed in Indian rupees, to the designated account of a
designated beneficiary in India with a scheduled bank, that shall be effected
by debiting the Account of the Customer.
All references to singular
include plural and vice versa.
All references to any gender
shall include the masculine and also the feminine as well as neutral gender.
“Words or expressions used in these Terms and Conditions, but not
specifically defined herein shall have the respective meanings assigned to them
by the Bank or RBI from time to time”.
Applicability of Terms
To avail / use the facility of
MoneyQuick, a Customer shall submit to the Bank an RTGS Request. The Bank shall
be entitled, at its sole discretion, to accept and process or reject such RTGS
The Terms and Conditions shall
be in addition to and not in derogation of the Terms and Conditions relating to
any account of the customer and the Terms and Conditions governing the
MoneyClick, regulations, circulars, orders, notifications, press releases,
instructions issued by RBI from time to time, including the aforesaid
regulations and any practices and / or policies followed by the Bank from time
to time The Customer hereby acknowledges that the Customer has read and
understood the Regulations and agrees that the rights and obligations provided
therein and in these Terms and Conditions in so far as it relates to the
Customer shall be binding on him / it with regard to every RTGS Requests made
by him / it.
The Customer understands and
agrees that availing the facility of MoneyQuick shall not be construed as
creating any contractual or other rights with or against RBI or any other
participant in the RTGS other than Bank.
Bank shall have no obligations
to any person including any beneficiary (or any person claiming under or
through such beneficiary) other than the Customer, for the execution of any
RTGS Request. All obligations of the Bank to the Customer in relation to any
RTGS Requests shall cease upon the execution of the RTGS Request.
contained herein, all terms and conditions stipulated by the Bank in connection
with the customer’s Accounts shall continue to apply.
3. Scope of
RTGS is a payment system in
which both processing and final settlement of fund transfer instructions
happens on real time basis. It is a gross settlement system where transfers are
settled individually, i.e. without netting debits against credits. RTGS effects
final settlement continuously rather than periodically and the settlements are
immediate, final and irrevocable.
4. Rights and
Obligations of the Customer
The customer shall be entitled, subject to the regulations
and the Bank’s practices, to issue MoneyQuick Requests.
The customer shall submit the MoneyQuick
Request in the prescribed format from time to time, which is complete
in all respects. The Customer shall be responsible for the accuracy of the
particulars given in the Request and shall indemnify the Bank
against any loss arising on account of any error in his MoneyQuick Request.
Any MoneyQuick Request executed by the Bank
if the Bank had executed the request in good faith and in compliance with the
security procedures shall bind the customer.
The customer shall ensure availability of
sufficient funds in his account properly applicable to the MoneyQuick Request
before/at the time of execution of the request by the Bank. Where however, if the Bank executes the RTGS
request without properly applicable funds being available in the customer’s
account, the customer shall be bound to pay to the Bank the amount debited to
his account for which an RTGS was executed by the Bank pursuant to his request,
together with interest and charges.
The customer agrees that the MoneyQuick
request shall become irrevocable when it is executed by the Bank.
The customer agrees that in the event of any
delay in the completion of the Funds Transfer or any loss on account of error
in the execution of the Funds Transfer pursuant to a MoneyQuick Request, the
Bank’s liability shall be limited to the extent of payment of interest at the
Bank rate for any period of delay in the case of delayed payment and refund of
the amount together with interest at the Bank Rate upto the date of refund, in
the event of loss on account of error, negligence or fraud on the part of the
The customer shall forthwith report to the Bank any
discrepancy in the execution of a MoneyQuick Request by the Bank. The Customer
agrees that, in any event, he / it shall not be entitled to dispute the
correctness of the execution of the Request or the amount debited to his
Account, after five Business Days from the date of the MoneyQuick Request.
The customer agrees that no special
circumstances shall attach to any MoneyQuick request executed under the RTGS
facility and under no circumstances customer shall be entitled to claim any
compensation in excess of the amount that is provided in clause (vi) above.
The Bank shall have the sole discretion to decide on the
cut-off time for transmitting the settlement instructions. MoneyQuick Request
received after cut-off time or on RTGS Holiday shall be executed on the next
RTGS Business Day.
The Customer agrees that he/it is aware that there is a risk
of non – payment to the beneficiary on the day of the transaction. The same may
be for any reason whatsoever, including a holiday at the beneficiary’s branch.
The Bank or RBI or any other participant in the RTGS shall not be liable, in
any manner whatsoever, to the Customer for any such delay.
The Customer agrees and understands that the MoneyQuick
Request is not a negotiable instrument. It is merely an instruction to the Bank
to debit the designated Account and credit the beneficiary’s account using
RTGS. The Customer agrees that the Bank shall have no obligations to any person
including any beneficiary (or any person claiming under or through such
beneficiary) other than the Customer, for the execution of a MoneyQuick
The Customer agrees that instructions for making payments
through the RTGS shall be accepted only in the form of an RTGS Request. If
subsequently the Bank allows payment instructions to be made in any other mode
and the Customer wants to avail of such modes, the Customer agrees to abide by
such terms and conditions as the Bank may stipulate for such modes.
By availing MoneyQuick facility, the customer shall be deemed to have
acknowledged and accepted these Terms and Conditions and shall be binding under
the process of RBI – RTGS Scheme. The Customer also agrees to enter into,
make, sign, execute, deliver, acknowledge and perform any agreement, deed,
writing or thing that may in the opinion of the Bank be necessary, proper and
expedient for the aforesaid purpose. These Terms
and Conditions will be in addition to and not in derogation of the terms and
conditions relating to any account of the customer or the Terms and Conditions
governing the Internet Banking service of the Bank.
5. Rights and
obligations of the Bank
(i) The Bank shall execute a
MoneyQuick Request issued by the customer duly authenticated by him and as
verified by the security procedure, unless:
The funds available in the account of the customer are not
adequate or properly applicable to comply with the Request and the customer has
not made any other arrangement to meet the payment obligation.
The MoneyQuick Request is incomplete or it is not issued
in the agreed form
The MoneyQuick Request is attached with notice of any
The Bank has reason to believe that the MoneyQuick Request
is issued to carry out an unlawful transaction
The Request cannot be executed under RBI RTGS scheme or
any other valid reasons.
The customer’s account is attached under provisions of any
MoneyQuick Request issued by the customer shall be binding on the Bank until
the Bank has accepted it. An acknowledgement of receipt of the
Request shall not be construed as binding the Bank to execute the same, other
than in terms of these Terms and Conditions and the right reserved by the Bank
to reject or refuse to carryout of any MoneyQuick Request. The Customer agrees
that no prior or written intimation or notice of such refusal or rejection
needs to be provided by the Bank.
(iii) The Bank shall, for
execution of every money quick request, has the discretion to select and
execute any one or a few among various money quick and other payment
instructions of the customer, if the available balance in the account is not
sufficient to execute all the orders.
Bank shall, for execution of every MoneyQuick Request, be entitled to debit the
designated account of the customer, the amount of the funds transferred
together with charges payable thereon, whether or not the account has
(v) If the RGTS is
not complete before the close of the business of the same day, the Bank shall
advise the customer before the closure of the
business on the next RTGS business day.
6. Fees and /
The Bank will levy fees and / or
charges for use of MoneyQuick facility, which will be notified to the customer
from time to time. Any change in the fees and / or charges will be notified by
hosting the same on Bank’s web page. The said charges shall be in addition to
any charges, which the RBI may levy on any given transaction.
The Customer confirms that all
the persons authorized to operate the Account at Branch or thro’ Internet
Banking channel are also authorized to issue MoneyQuick Request to the Bank.
The Customer is responsible for
the accuracy and authenticity of the instructions provided to the Bank and the
same shall be considered to be sufficient to execute the MoneyQuick Request.
The Bank shall not be required to independently verify the instructions.
The Bank has no liability if it
does not or is unable to stop or prevent the execution of any instruction
revoked by the Customer. Where the Bank considers the instructions to be
inconsistent or contradictory, it may at its discretion either (i) seek
clarification from the Customer before acting on the instruction or (ii) act
upon any such instruction as it thinks fit.
The Bank shall not
be liable for any loss or damage arising or resulting from delay in
transmission delivery or non-delivery of Electronic messages or any mistake,
omission, or error in transmission or delivery thereof or in deciphering the
message from any cause whatsoever or from its misinterpretation received or the
action of the beneficiary Bank or any act or event beyond it’s control.
The Bank shall not be under any
obligation/duty to assess the prudence or otherwise of any instruction. The
Bank has the right to suspend the operations through the it’s RTGS
Facility-MoneyQuick if it believes that the Customer’s instructions will lead
to or expose the Bank to direct or indirect loss or may require an indemnity
from the Customer in such form, substance and manner as it deems fit before
continuing to operate the MoneyQuick RTGS Facility.
All instructions issued by the
Customer, are the sole responsibility of the Customer.
Request/s received after cut-off time will be executed by the Bank on the next
RTGS business day. There shall be no RTGS on Sunday and common holidays across
the country (as declared by the RBI).
8. Sharing of
The Customer irrevocably and
unconditionally authorises the Bank to access all the Customer’s Accounts and
records for the purpose of providing the RTGS Facility. The Customer agrees
that the Bank may hold and process his/its personal information and all other
information concerning RTGS Requests and / or its Account(s) on computer or
otherwise in connection with the MoneyQuick RTGS Facility as well as for
analysis, credit scoring and marketing etc.
The Bank does not hold out any
warranty and makes no representation about the quality of the RTGS Facility.
The Customer agrees and acknowledges that the Bank shall not be liable and
shall in no way be held responsible for any damages whatsoever, whether such
damages are direct, indirect, incidental or consequential and irrespective of
whether any claim is based on loss of revenue, interruption of business,
transaction carried out by the Customer and processed by the Bank, information
provided or disclosed by the Bank regarding Customer’s Accounts or any loss of
any character or nature whatsoever, and whether sustained by the Customer or by
any other person.
The Bank shall endeavour to
execute and process the transactions as proposed to be made by the Customer
promptly but shall not be responsible for any non-response or delay in
responding due to any reason whatsoever, including due to failure of
operational systems or any requirement of law.
The Bank shall not be liable for
any unauthorized persons accessing the records and / or Accounts / information
through the use of RTGS Facility and the Customer hereby fully indemnifies and
holds the Bank harmless against any action, suit, proceeding initiated against it
or any loss, cost or damage incurred by it as a result thereof. The Bank shall
under no circumstance, be held liable to the Customer if the RTGS Facility is
not available in the desired manner for reasons including but not limited to
natural calamities, legal restraints, faults in the telecommunication network
or network failure, or any other reason beyond the control of the Bank.
Illegal or improper use of the
RTGS Facility shall render the Customer liable for payment of pecuniary charges
or penalties, which the Bank may at its sole discretion, decide or may result
in suspension of the MoneyQuick RTGS Facility to the Customer. The Customer
hereby also agrees to fully indemnify and hold the Bank and its subsidiaries
and affiliates harmless against any action, suit, proceeding initiated against
it or any loss, cost or damage incurred by it as a result thereof.
All the records (including
electronic records) of the Bank generated by the transactions arising out of
the use of the RTGS Facility, including the time of the transaction recorded
shall be conclusive proof of the genuineness and accuracy of the transaction.
For the protection of both the parties, and as a tool to correct
misunderstandings, the Customer understands, agrees and authorises the Bank, at
its discretion, and without further prior notice to the Customer, to monitor
and record any or all telephone conversations (if any), e-mail notifications or
automated electronic transmission between the Customer and the Bank and any of
its employees or agents or instruction provided by the Customer to the Bank.
The Bank expressly disclaims all
warranties of any kind, whether express or implied or statutory, including, but
not limited to the implied warranties of merchantability, fitness for a
particular purpose, data accuracy and completeness, and any warranties relating
to non-infringement in the MoneyQuick RTGS Facility.
The Customer agrees, at its own
expense, to indemnify, defend and hold harmless the Bank and any of their
directors, employees, representatives and / or agents against any claim, suit,
action or other proceedings brought against them by a third party, to the
extent that such claim, suit, action or other proceedings brought against such
person is based on or arises in connection with any action of the Customer,
including but not limited to:
a violation of the Terms and Conditions by the Customer;
any use of the MoneyQuick RTGS Facility by the Customer;
any misrepresentation or breach of representation or
warranty made by the Customer contained herein;
any breach of any covenant or obligation to be performed by
the Customer hereunder;
The Customer agrees to pay any
and all costs, damages and expenses, including, but not limited to, attorneys’
fees and costs awarded against it or otherwise incurred by or in connection
with or arising from any such claim, suit, action or proceeding attributable to
any such claim.
The Customer hereby agrees that
under all circumstances, the Bank’s aggregate liability for claims relating to
the MoneyQuick RTGS Facility, whether for breach or in tort shall be limited to
the transaction charges / fees or consideration paid by the client within the
previous twelve (12) months for the service, excluding any amount paid towards
The Bank shall be entitled to
sell, assign or transfer it’s right and obligations under this Agreement to any
person of Bank’s choice in whole or in part and in such manner and on such
terms and conditions as the Bank may decide. Any such sale, assignment or
transfer shall conclusively bind the Customer and all other concerned persons.
The Customer, its successors and
assigns are bound by the terms of this Agreement. However, the Customer shall
not be entitled to transfer or assign any of its rights and obligations under
The terms and conditions and/or
the operations in the Account(s) maintained by the customer with the Bank and
the usage of MoneyQuick RTGS facility shall be governed by the laws of India. Any legal
action or proceedings arising out of these Terms and Conditions or in relation
to the RTGS Facility shall be brought in the courts or tribunals at Mangalore
in India. The Bank may,
however, in their absolute discretion commence any legal action or proceedings
arising out of these Terms in any other court, tribunal or other appropriate
forum, and the Customer hereby consents to that jurisdiction.
The Bank shall have the right of
set-off and lien, irrespective of any other lien or charge, present as well as
future on the deposits held in the Account to the extent of all outstanding
dues, whatsoever, arising as a result of the MoneyQuick RTGS Facility extended
to and/or used by the Customer.
The Customer agrees and
understands that RBI may terminate, modify, assign the provisions of the Bank’s
RTGS Facility and the Customer shall abide by the same.
The customer agrees and undertakes that the Bank’s RTGS Facility
will not be used for any Money Laundering activity.
The Bank also has the absolute
discretion to amend or supplement any of the Terms and Conditions as stated
herein at any time. By using the services after any such modification made by
the Bank, the Customer shall be deemed to have accepted the changed Terms and
Notices under these Terms and
Conditions to the Customer may be given in writing by delivering them by hand
or by sending them by post to the last address given by the Customer or thro’
electronic mail or Bank’s website “www.karnatakabank.com” and in case of the Bank to
its Registered Office address as set out hereinabove. Such notices will have
the same effect as a notice served individually to each Customer. Notice and instructions will be deemed to
have been served after 7 days of posting or upon receipt in case of hand delivery,
cable, telex or facsimile.
Any provision of these Terms and
Conditions, which is prohibited or unenforceable in any jurisdiction, shall, as
to such jurisdiction, be ineffective to the extent of prohibition or
unenforceability but shall not invalidate the remaining provisions of these
Terms and Conditions or affect such provision in any other jurisdiction.