J&K Handicraft Employees Association concerned over J&K Bank’s EMI deductions

Srinagar: The Jammu & Kashmir Handicraft Employees Association President and National Movement for Old Pension Scheme (NMOPS) Provincial President of Kashmir Suhaib Munshi, has expressed serious concern over J&K Bank’s recent decision to deduct advance EMIs from the accounts of salaried employees, reportedly to safeguard their CIBIL scores.

According to the various reports, several employees were surprised to see overdrafts created in their accounts without prior, clear communication leading to confusion and anxiety over how their upcoming salaries would be adjusted. “This has caused distress among many government employees who rely on timely and full disbursement of their salaries to manage household expenses,” said Suhaib Munshi.

“We understand the bank’s intent to protect credit scores, but the way it has been implemented is causing unintended hardship.” Munshi further said “It would be more appropriate if such financial decisions were taken in consultation with account holders, with clear consent and timely communication”.

“We believe a more flexible and transparent approach could help achieve the same goals without disrupting families’ monthly budgets.”

The association has urged J&K Bank to review its current policy and reconsider alternative mechanisms such as EMI cycle adjustments or structured repayment plans that protect both the financial interests of the bank and the dignity of its customers.

The statement concluded with an appeal to the bank and concerned authorities to ensure that employee welfare remains a central consideration in all financial decisions impacting their livelihoods.