The governor of the RBI is concerned that traditional banking continues to receive a lot of complaints. He mentioned another concern as being money scams involving phishing bogus links, websites, and other methods.
According to central bank governor Shaktikanta Das, the Reserve Bank of India’s ombudsmen and regulated firms should make sure that customer complaints are handled fairly and promptly.
At the Annual Conference of RBI Ombudsmen in Jodhpur on October 28, Das stated, “First, the RBI ombudsmen and the regulated entities (REs) must identify the fundamental causes of persisting customer complaints and take appropriate systemic actions to remedy them.
According to him, the REs and RBI ombudsmen must resolve client concerns in a fair and timely manner.
The RBI has designated a senior official as the banking ombudsman to address customer complaints about shortcomings in specific banking services.
If the bank does not respond to a complaint within a month of receiving or rejecting it, the complainant may submit a complaint with the ombudsman. If the complainant is not pleased with the bank’s response, they may also contact the ombudsman.
Despite the RBI’s increased emphasis on customer service and consumer protection, Das said he was “quite worried” to see repeated complaints in several particular areas, including as mis-selling, a lack of price transparency, excessive service charges, and extremely high punitive rates.
He was alluding to news in the media and cases of using coercive methods on social media.
He also expressed concern about payment fraud caused by phishing, vishing, false links and websites, and remote-access apps.
The fact that a significant portion of complaints still concern traditional banking is concerning, according to Das. This necessitates a careful examination of how the regulated firms’ customer service and grievance procedures operate.
According to Das, the core cause of these complaints should be investigated before corrective action is performed.
According to India’s top banker, the fundamentals of strong customer service and customer protection—transparency, fair pricing, honest transactions, responsible corporate conduct, protection of consumer data and privacy—remain applicable even as the financial sector changes and develops.
Ombudsman agencies should also take a thoughtful and compassionate approach.
Das admitted that the position calls for extraordinary alertness and readiness to quickly detect the sources of worry, cutting-edge fraud tactics, and deal with the problems.
In order to significantly cut turnaround times without sacrificing the effectiveness of the resolution, ombudsmen must work harder.
For a lawsuit to result in a fair settlement, Das added, the facts and supporting evidence must be properly and thoroughly evaluated.
He continued, “While we support our regulated firms’ success, we, too, must match their efforts and ensure a prompt and equitable conclusion.