MANU/RPRL/0215/2015

Ministry : Reserve Bank of India

Department/Board : RBI

Press Release No. : 2015-2016/1249

Date : 26.11.2015

Reserve Bank of India releases the Annual Report of the Banking Ombudsman Scheme 2006: 2014-15

The Reserve Bank of India, today, released the Annual Report of the Banking Ombudsman Scheme for the year 2014-2015. The Banking Ombudsman Scheme was established by the Reserve Bank in 1995 to provide speedy solutions to the grievances faced by bank customers. There are 15 Offices of Banking Ombudsmen (BOS) across the country. The report is a synopsis of activities of all the 15 offices of Banking Ombudsman.

Highlights of the Report

• During the year 2014-15, 85,131 complaints were received by 15 Offices of the Banking Ombudsmen.

• The number of complaints increased by 11.2 per cent as compared to the previous year.

• Offices of Banking Ombudsmen maintained a disposal rate of 96 percent.

• The Banking Ombudsmen issued 87 Awards during the year.

• The Appellate Authority received 73 appeals during the year against the Awards/decisions of Banking Ombudsmen.

• Complaints pertaining to failure to meet commitments, non-observance of fair practices code, Banking Codes and Standards Board of India (BCSBI) Codes taken together constituted the largest category of complaints with 29.2 per cent of complaints received.

• Card related complaints comprised 21.3 per cent of total complaints received. Complaints pertaining to ATM/Debit card operations comprised 12.5 per cent of total complaints received whereas, 8.8 per cent complaints were pertaining to credit card operations.

• Complaints in the category of Pension (6.8 per cent), Levy of charges without prior notice (6.5 per cent), Loans and Advances (5.7 per cent), Deposit Accounts (5.5 per cent), Remittances (3.2 per cent) were other major areas of complaints.

• Offices of Banking Ombudsmen organised awareness campaigns/outreach activities, Town Hall events, advertisement campaigns to spread awareness about the Scheme especially in rural and semi-urban areas.

Background

The Banking Ombudsman Scheme, 1995 was notified by the Reserve Bank of India on June 14, 1995 under section 35A of the Banking Regulation Act, 1949. The aim and objective of the Scheme is to provide a quick and cost free resolution mechanism for complaints relating to deficiency of banking services of common bank customers, who otherwise find it difficult or cost prohibitive to approach any other redressal fora such as courts. The Scheme is applicable to Scheduled Commercial Banks, Scheduled Primary Urban Co-operative Banks and the Regional Rural Banks. The Scheme has undergone several revisions during the years 2002, 2006, 2007 and 2009. Presently, the Banking Ombudsman Scheme 2006, (BOS) as amended up to February 3, 2009, is in operation. There are 15 Banking Ombudsmen with specific State-wise jurisdiction covering all the 29 States and 7 Union Territories.

Sangeeta Das
Director