Personal Loan: Is your bank harassing you? You can file a complaint to the RBI. Check details | Mint

Did you borrow money from a bank but now realise that you got a rough deal from it? You have realised that there are too many hidden costs or the rate of interest was raised unreasonably soon after? Or is there something else, which the bank has done that violates the line of ethics, transparency or morality? 

In most of these scenarios and more, you can file a complaint to the Reserve Bank of India (RBI) under its ombudsman scheme.

Typically, when you have a problem with a bank, you can file a complaint to the bank’s grievance redressal system. However, in case the bank fails to resolve your complaint within 30 days of filing it, you can approach the RBI.

And even if the bank has responded to your query, and the reply is unsatisfactory – you can still approach the RBI in the capacity of an ombudsman. One can file a complaint through the complaint management system (CMS) portal of RBI at http://cms.rbi.org.in.

What is an integrated ombudsman scheme?

RBI has mandated all banks to have a mechanism at their end to resolve the complaints received by them from their customers, which is considered as the Internal Grievance Redress Mechanism.

The RBI has also put in place an Integrated Ombudsman Scheme, 2021 (RB-IOS), which is a cost-free alternate grievance redress mechanism for resolution of customer complaints relating to deficiencies in services rendered by banks, NBFCs, payment system participants and credit information companies (CICs).

The RB-IOS saw a 68.2 per cent jump in the number of complaints to 703,000 in FY23. In FY22, there was 9.4 percent increase in the number of complaints and the corresponding data for FY21 stood at 15.7 per cent.

This is a single umbrella scheme wherein all complaints against any regulated entity are entertained. And it is not necessary for a complainant to identify under which ombudsman scheme, one should file a complaint with the ombudsman.

Those complaints against regulated entities which are not covered under the RB-IOS are handled at Consumer Education and Protection Cells (CEPCs) for resolution.

It is easy to access the list of regulated entities. It can be accessed by visiting cms.rbi.org.in.

What to do if you have a grievance?

You can file a complaint against the bank, NBFC, payment system participants or credit information companies at a branch or online in the grievance redressal portal. It is important to get acknowledgement or save the reference number of the complaint.

One should note that filing a complaint directly with the RBI ombudsman without approaching the bank may lead to its rejection.

When should you approach the RBI ombudsman?

i) When banks do not reply no within 30 days: Anytime within one year and 30 days from the date of complaint to the regulated entity.

ii) Bank’s reply is not satisfactory: Anytime within one year of receipt of reply from the concerned regulated entity.

You can file online through the complaint management system (CMS) portal of RBI at cms.rbi.org.in.