The Banking Ombudsman Scheme was introduced under Section 35 A of the Banking Regulation Act, 1949 by RBI with effect from 1995. Presently the Banking Ombudsman Scheme 2006 (As amended upto July 1, 2017) is in operation. The Banking Ombudsman Scheme is an expeditious and inexpensive forum for bank customers for resolution of complaints relating to certain services rendered by banks
The Banking Ombudsman is a officer in the rank of Chief General Manager or General Manager appointed by the Reserve Bank of India to redress customer complaints against deficiency in certain banking services covered under the grounds of complaint specified under Clause 8 of the Banking Ombudsman Scheme 2006. He is appointed for a period not exceeding three years at a time.
As on date, twenty Banking Ombudsmen have been appointed with their offices located mostly in state capitals.
All Scheduled Commercial Banks, Regional Rural Banks and Scheduled Primary Co-operative Banks are covered under the Scheme.
The Banking Ombudsman can receive and consider any complaint relating to the following deficiency in banking services:
A customer can also lodge a complaint on the following grounds of deficiency in service with respect to loans and advances
One can file a complaint before the Banking Ombudsman if the reply is not received from the bank within a period of one month after the bank concerned has received one’s complaint, or the bank rejects the complaint, or if the complainant is not satisfied with the reply given by the bank.
One can file a complaint with the Banking Ombudsman simply by writing on a plain paper. One can also file it online or by sending an email to the Banking Ombudsman.
The Banking Ombudsman does not charge any fee for filing and resolving customers’ complaints.
The Banking Ombudsman may reject a complaint at any stage if it appears to him that a complaint made to him is:
Any person aggrieved by an Award issued by Banking Ombudsman rejecting the complaint can approach the Appellate Authority. The Appellate Authority is vested with a Deputy Governor of the RBI
One can file the appeal against the award or decision of the Banking Ombudsman rejecting the complaint within 30 days of the date of receipt of the Award, The Appellate Authority may, if he/ she is satisfied that the applicant had sufficient cause for not making an application for appeal within time, also allow a further period not exceeding 30 days
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