Crypto is quite complex topic. No doubt stringent regulations and scams are frequent in the crypto world, but certain crypto exchanges are also acting as goons. It is not hidden anymore. Trying to figure out innovative ways to milk their customers has become their core business value. Zebpay can be considered one of those crypto exchanges.
I have accounts opened with so many crypto exchanges, but Zebpay is such a pain that I have given up hope of any recovery. Guess what, my assets are not hacked or stolen, but blocked.
Recently, my account was blocked by Zebpay for a very tepid reason of a chargeback issue raised by me.
Raising a chargeback issue is the legal right of every customer and granted by RBI and Banks as a privilege.
RBI rule says that in the event of delayed transaction beyond 2 hours, banks have to pay penal interest to the customers. Is Zebpay going to pay the penal interest the answer is no.
So when there was a delay I raised a chargeback issue and my bank raised the issue with NPCI as per RBI protocols set for interbank communication. Now here is the twist, zebpays bank didn’t respond within the stipulated time and my chargeback request was rejected. Same was conveyed to me by my bank and same was forwarded to zebpay support as well. But they refused to accept it and kept on badgering that my bank has to directly confirm to zebpay support that the chargeback issue is withdrawn. I checked with my bank but they said that they can’t directly communicate with a third-party(zebpay support) as it would violate the customer privilege by providing details to a third party without their consent. They are quite right in their approach.
This was again communicated to Zebpay support, but they refused to budge. I raised the grievance with the national consumer help line and here is their response.
"The Govt. and RBI have advised all banks and financial Institutions not to deal in such kind of service . It has not given any licence / authorisation to any entity / company to operate such schemes or deal with Bitcoin or any virtual currency. " —by NCH.
Also, they are encouraging me to trade in a blocked account to avoid a monthly maintenance fee. What kind of business practice it is? I cannot make it out.
What kind of blocked account is it where a customer can deposit and trade but cannot withdraw?
Next is their clause which says block one or all transactions, but I have been repeatedly conveyed by the team that my account is blocked. It is quite strange.
It is a deadlock situation created by the Zebpay team. It translates to the fact that customers can lose their money in the event of ZEBPAY blocking their accounts of the customers. Also, banks won’t help because it is not a recognized or licensed organization, according to NCH.
Beware of Zebpay.