PSBs received more complaints than pvt banks in ?09-10

The Public Sector Banks (PSBs) have shown an increase in number of complaints received, compared to their private peers. A comparison between between five private sector banks operating in the country and 16 public sector banks showed growth in complaints received was higher for PSBs during 2009-10 compared to private banks.

In the case of the PSBs, number of complaints received at the aggregate level showed a significant increase during 2009-10, against that of 2008-09. The number of complaints also showed an increase in case of private banks, but

only marginally.

The aggregate total complaints of the private sector banks have increased by 3.1% from 1,35,814 numbers in 2008-09 to 1,39,990 numbers in 2009-10. Their disposed complaints has increased by 1.3% during the study period, declining the unresolved to total complaints ratio from 6.75% in 2008-09 to 1.66% in 2009-10.

Highest increase in complaints received was witnessed in the case of IndusInd Bank followed by Axis Bank and ICICI Bank. The number of complaints received by IndusInd increased from 2,976 during 2008-09 to 6,846 during 2009-10. In the case of ICICI Bank, the number of complaints received increased by 9.3% during 2009-10.But the unresolved to total complaints decreased from 7.91% to 1.86% during 2009-10.

State-run banks, in contrast, appeared less concerned about complaints. Their total number of received complaints rose 52.1% growth in during 2009-10 and the disposed complaints has increased by 50.8% to 1,91,366 numbers during 2009-10, from 1,26,901 during 2008-09. And the unresolved to total complaints ratio increased from 2.62% in 2008-09 to 2.79% in 2009-10.

Significant increase in the ratio of unresolved to total complaints has seen in the case of Syndicate Bank. The unresolved to total complaints ratio of Syndicate Bank increased from 1.98% in 2008-09 to 5.38% in 2009-10.

In order to make the customer grievance redressal mechanism more effective, the Syndicate Bank recently introduced the system of categorising the complaints, according to the gravity/sensitivity of the matter involved so as to enable prioritised handling. Accordingly, all complaints received are now categorised as ? highly sensitive?, ? sensitive? and ?general? to facilitate prioritisation of the complaints according to their gravity/sensitivity of the matter.

To supplement the above, Syndicate Bank has also put in place a system of quarterly rating of regions based on the number of complaints received and the average grievance redressal time. The rating is based on the combined score achieved by a region for the two parameters together.

IDBI Bank ratio increased significantly from 0.91% in 2008-09 to 1.67% in 2009-10. Highest increase in complaints received was registered by SB Of Mysore followed by SB Of B & J and IDBI Bank. The number of complaints of IDBI Bank increased from 25,173 to 64,117 during 2009-10. SBI showed an increase of 30.4% in complaints received.