The Reserve Bank of India (RBI) has constituted a committee under the chairmanship M Damodaran, former chairman of Securities & Exchange Board of India, to look into banking services rendered to retail and small customers, including pensioners.
The committee will also look into the system of grievance redressal mechanism prevalent in banks, its structure and efficacy and suggest measures for expeditious resolution of complaints.
Some of the other members of the committee are Indian Banks? Association chairman and Union Bank of India CMD MV Nair, National Consumer Disputes Redressal Commission former member P Rajyalakshmi Rao, All India Bank Depositors? Association secretary Ashok Rawat and Banking Codes & Standards Board of India chief executive officer B M Mittal.
The panel will submit its report within a period of four months from its first meeting.
The committee will review the existing system of attending to customer service in banks approach, attitude and fair treatment to customers from retail, small and pensioners segment.
The committee may also lay down a suitable time frame for disposal of complaints, including last escalation point within that time frame and will examine the functioning of Banking Ombudsman Scheme?its structure, legal framework and recommend steps to make it more effective and responsive.
The panel will examine the possible methods of leveraging technology for better customer service with proper safeguards, including legal aspects in the light of increasing use of Internet and IT for bank products and services and recommend measures to enhance consumer protection.
The committee will also review the role of the board of directors of banks and the role of regulators in customer service matter.