Bank’s negligence will cost heavily: Customers will get compensation ranging from ₹ 100 to ₹ 5,000 per day, know the strict rules of RBI that will give you your rights.

Despite the expansion of technology in banking services, millions of account holders still have to face negligence and delay of banks. Sometimes the amount is deducted from the account due to non-withdrawal of money from the ATM, and sometimes the original documents (Registry/Sale Deed) of the property are not returned even after months of repaying the home loan. Many times, even after applying for closing the credit card, banks keep sending bills for months. Most of the consumers accept this as their destiny and keep visiting the bank branches, because they are not aware that the Reserve Bank of India (RBI) has set strict Turnaround Time (TAT) and Daily Compensation (Auto-Compensation) rules to protect the interests of the customers. If the bank fails to complete the work within its stipulated time frame, it has to deposit a penalty of ₹100, ₹500 and ₹5,000 directly into the customer’s account for every day of delay.

This is the strictest guideline ever given by RBI for home buyers and loan takers. When you take a home loan or loan against property (LAP) from a bank or housing finance company, the bank mortgages your registry and original documents.

• Rule: According to the RBI circular, it is mandatory for the bank to return all the original property documents of the customer and remove the government charge (Lien/Hypothecation) registered on the property within a maximum of 30 days from the date of payment of the last installment of the loan or full and final settlement.

• Compensation Rate: If the bank delays by even one day in handing over the documents from the 31st day after the expiry of the 30 day limit, the bank will have to refund the customer ₹5,000 per calendar day Compensation will have to be paid accordingly. This amount continues to be added until the documents are returned.

• In case of loss of documents: If the original documents are lost or destroyed by the Bank, the Bank will have to bear the entire cost of getting duplicate or certified copies along with a penalty of ₹5,000 per day.

The most common complaint of account holders after they stop using credit cards is that banks do not cancel the cards for months and keep adding renewal fees or penalties.

• Rule: As per RBI Master Direction, if the cardholder has given a request for card closure through the official channel (helpline, email, internet banking or written application) and there is no outstanding balance on the card, the bank/card issuer will be entitled to 7 Working Days It is mandatory to completely close the card account within.

• Compensation Rate: If the bank does not close the card after completion of 7 days, then from the 8th day till the account is completely closed the customer will have to ₹500 per calendar day Will have to pay a penalty of Rs. Under this rule, many customers have received compensation worth lakhs of rupees from banks.

Many times when a digital transaction fails, the money is deducted from the account but is not received by the recipient or the cash is not withdrawn from the ATM. For this, RBI has made ‘Harmonization of Turnaround Time’ (TAT) rule:

• If cash is not withdrawn from ATM: If the account is debited and cash is not withdrawn, the bank will be charged a maximum of Rs. T+5 days The money will automatically reverse within. If there is a delay of more than 5 days, the bank ₹100 per day Compensation will have to be paid.

• UPI and IMPS: Time for auto-reversal if UPI transaction fails T+1 day is defined. If the money is not returned within the stipulated time, the customer can withdraw the money without any application. ₹100 per day Is entitled to compensation of Rs.

• Credit Report/CIBIL Error: If an incorrect default is recorded in your credit report due to the bank’s fault and you have filed a complaint, the bank will have to make the correction within 30 days. Even if there is no improvement after 30 days ₹100 per day Damages apply.

If there is loss of customer’s belongings due to security lapse of the bank such as theft in bank locker, robbery, fire or collapse of bank building, the bank cannot absolve itself of its liability. As per RBI rules, the maximum liability of the bank in such cases is Rs. 100 times of Annual Rent Has been fixed equal to. For example, if you pay an annual locker rent of ₹3,000, the bank will have to compensate you up to ₹3 lakh.

If the bank refuses to pay this compensation despite its mistake or delay, the customer can follow these legal steps:

1. Written complaint to the branch manager: First of all give a written letter to your bank branch or file a ticket on the official online portal of the bank, clearly mentioning the violation of the relevant RBI circular and TAT.

2. Email to Principal Nodal Officer (PNO): If no solution is found within 7 days, then forward the complaint to the nodal officer of the bank.

3. RBI Ombudsman (CMS Portal): If the bank does not resolve the complaint within 30 days of filing it or gives inappropriate response, the customer can lodge a complaint through RBI complaint management portal without spending a single penny. cms.rbi.org.in You can file a complaint online. Lokpal not only gets your stuck money and prescribed compensation, but can also order separate compensation for mental torture.