When banks charge incorrect fees, deduct money without authorisation, or fail to resolve unauthorised transactions, customers can follow a formal grievance redressal process. According to reports from Mint, every bank has a formal grievance redressal process that customers can use to report such issues and seek reversal or refund. The process begins with filing a complaint directly with the bank, followed by escalation to the Reserve Bank of India (RBI) if the bank fails to resolve the issue satisfactorily.
The RBI's complaint management system allows grievances to be registered through its online platform under the Integrated Ombudsman Scheme. As reported by Mint, customers must first submit a written complaint to their bank or financial institution and wait for an unsatisfactory reply or 30 days of silence before approaching RBI. The filing process involves visiting cms.rbi.org.in, selecting the appropriate category (bank, NBFC, system participant or CIC), registering with a mobile number for status tracking, and uploading required documents including pre-step complaint, reply, KYC and proof documents.
According to Mint, the RBI's portal handles complaints related to wrong or excessive bank charges, failed UPI or digital payments, delay or non-payment of funds, non-reversal of charges after failed transactions, unauthorised debits or fraudulent activities, and deficiencies in loan or deposit services. The central bank's ombudsman scheme empowers it to issue interim advisories to regulated entities, including banks, NBFCs and payment system participants. Customers must file complaints with the RBI ombudsman within 90 days of receiving the bank's response, or 90 days after the 30-day period expires if no response is received.
As reported by Mint, most complaints are resolved within around a month after submission. If the RBI issues an award in favour of the customer, the bank is bound to comply once the customer provides written acceptance within 30 days. The ombudsman can take up matters if the bank's response is unsatisfactory or if the bank fails to respond. In many cases, the RBI facilitates settlement between the customer and the bank, providing a structured resolution mechanism for banking disputes.
