| Date : 24 May 2007 |
|Customers can now appeal against the Banking Ombudsman's Decision |
Bank customers can now appeal against the
decision of the Banking Ombudsman where he has rejected the customer's complaint
relating to matters falling within the grounds of complaints specified under the
scheme. The Reserve Bank of India has amended the Banking Ombudsman Scheme, 2006
to enable the customers to appeal against the Banking Ombudsman's decision. The
amendments are available on the RBI website. Before the scheme was amended,
the bank customers could appeal only against the awards given by the Banking Ombudsman.
The appellate authority for the Banking Ombudsman Scheme is the Deputy Governor
of Reserve Bank of India.
It may be recalled that
in the Annual Policy for 2007-2008, the Reserve Bank had announced that based
on customer feedback, it would amend the Banking Ombudsman Scheme, 2006 to extend
the appeal option also to the decisions of the Banking Ombudsman.
introduced in 1995, the Banking Ombudsman Scheme enables speedy and cost effective
resolution of complaints of bank customers relating to deficiency in bank services.
The Scheme now covers all Scheduled Commercial Banks, Regional Rural Banks and
Scheduled Primary Co-operative Banks. The customers can also now complain to the
Banking Ombudsman against deficiency in almost any banking services, including
credit cards, after exhausting the channel available with the bank concerned for
resolving their complaints. The Reserve Bank has appointed 15 Banking Ombudsmen
who are located mostly in State Capitals under the Scheme. The Banking Ombudsman
tries to resolve the complaint through conciliation or mediation and even passes
an award if it is not resolved through such settlement.
Deputy General Manager
Release : 2006-2007/1608