RBI Strengthens Grievance Redressal Mechanism in Banks-Modified disclosures to be given in Annual Report
Today, RBI issued a comprehensive framework comprising of enhanced disclosures on complaints to be made by the banks, recovery of the cost of redress of maintainable complaints from the banks against whom the number of complaints received in the Offices of Banking Ombudsman (OBOs) are in excess of their peer group averages, and intensive review by RBI of the grievance redress mechanism of banks having persisting issues.
The redress of complaints will continue to be cost-free for the customers of banks and members of public.
Banks are currently required to make disclosures regarding customer complaints and grievance redress in their annual report. According to the latest directions, the disclosures have been modified and now banks are required to disclose number of complaints received by the bank from its customers and their disposal and pendency at the year end. Also Banks shall disclose number of maintainable complaints received by the bank from Offices of Banking Ombudsman (OBOs) and how they had been resolved.
Banks shall also disclose top five grounds of complaints received by the bank from customers. These ground could be as under:
ATM/Debit Cards
Credit Cards
Internet/Mobile/Electronic Banking
Account opening/difficulty in operation of accounts
Mis-selling/Para-banking
Recovery Agents/Direct Sales Agents
Pension and facilities for senior citizens/differently abled
Loans and advances
Levy of charges without prior notice/excessive charges/ foreclosure charges
Cheques / drafts / bills
Non-observance of Fair Practices Code
Exchange of coins, issuance / acceptance of small denomination notes and coins
Bank Guarantees/Letter of Credit and documentary credits
Staff behaviour
Facilities for customers visiting the branch/adherence to prescribed working hours by the branch, etc.
Others
Denial of Capital gain deduction u/s 54B for agricultural land purchased in the name of wife Supreme Court stays High…
CIT(A) was justified in considering surrounding circumstances, the normal human conduct of a prudent investor, the probabilities to judge creditworthiness…
High Court frowns at Provisional attachment orders passed u/s 83(1) GST lifted only their illegality being questioned In a recent…
In Faceless assessment grant of opportunity of personal hearing is not optional at discretion of the Assessing Officer its waiver…
CBDT Guidelines for compulsory selection of return for compulsory scrutiny during FY 2024-25 CBDT Guidelines for compulsory selection of…
High Court quashed reopening of assessment on the incorrect presumption that no return of income had been filed Re-assessment order…