To enlarge the scope for customer complaints, the Reserve Bank of India keeps revising the Banking Ombudsman Scheme from time to time. Under the Banking Ombudsman Scheme, bank customers can raise their problems for resolution of complaints relating to certain services rendered by banks. Appointed by the Reserve Bank of India, the Banking Ombudsman is a senior official to redress customer complaints against deficiency in certain banking services.

Deficiencies that are taken care of by the Banking Ombudsman include credit card complaints, not providing promised services, levying charges without prior notice to the account/policyholder, and non-adherence to the fair practises code as adopted by individual banks. Complaints can be raised about various reasons, including delay in payments or non-payment, remittances by banks, collection of cheques towards bills, non-acceptance of small denomination notes or coins, and charging of commission.

Here are the grounds under which you can raise a complaint with the banking ombudsman;

  • Inordinate delay in the payment, or non-payment, delay in collection of cheques, drafts, bills etc.
  • Bank not accepting, small denomination notes, and/or coins without any sufficient cause, and charging commission in respect thereof.
  • Non-payment or delay in payment of inward remittances or non-payment of the same can also be raised with the banking ombudsman.
  • Delay in issue of drafts, pay orders or bankers’ cheques, and/or failure to issue such drafts and cheques.
  • Non-adherence to prescribed working hours can also be raised with the banking ombudsman.
  • Cases where the bank has failed or delayed in providing banking facilities, other than loans, promised by the bank in writing or by a direct agent.
  • Non-payment of deposit, delays in non-credit of proceeds to parties’ accounts, or nonobservance of the Reserve Bank directives, if any, applicable to rate of interest on deposits in any account maintained with the bank, can also be raised with the banking ombudsman.
  • Non-Resident Indians having accounts in India, complaints can be raised by them in relation to their remittances from abroad, deposits and any other bank-related matter.
  • If the bank refuses to open deposit accounts without any valid reason for their refusal, can also be taken up to the banking ombudsman.
  • The bank levying charges without adequate prior notice to the customer.
  • Customers can take cases up to the banking ombudsman in case of non-adherence to the instructions of the Reserve Bank on ATM or debit card, prepaid card, and credit cards.

Customers facing any of the above-mentioned problems with their banks can first take it up with the bank’s grievance redressal process, and if not satisfied he/she can lodge a complaint with the banking ombudsman. Complainants can be filed either through filling up a form and visiting a branch or through online.