In an effort to enhance the customer experience with grievance redressal in banking services, the Reserve Bank of India (RBI) has introduced a new initiative called the Complaint Management System (CMS). This innovative platform, available across mobile and desktop devices, enables customers to file complaints directly to the RBI against any of its regulated entities including commercial banks, urban co-operative banks, and Non-Banking Financial Companies (NBFCs).
Understanding the Complaint Management System
The CMS is essentially a tool where aggrieved customers can raise their issues related to violations under the Banking Ombudsman (BO) Scheme, 2006 and Ombudsman Scheme for NBFCs, 2018. Among other features, a distinctive aspect of CMS is that it allows customers to submit their grievances directly to the RBI’s website. Once a complaint is registered, the user receives an acknowledgement via SMS or email notification. Furthermore, they can track the status of their complaint using a unique registration number provided by the system.
Additional Features of the Complaint Management System
Beyond facilitating easy submission and tracking of complaints, the CMS provides receipt of closure advises and also enables the filing of appeals. Additionally, it seeks voluntary feedback from customers on their experience with the system. The data collected through CMS is not only useful for regulatory and supervisory purposes but can also be leveraged by banks and financial service providers to design products that meet customer expectations.
Dedicated Interactive Voice Response System
In a move to make the process of complaint tracking even more seamless, the Reserve Bank is planning to introduce a dedicated Interactive Voice Response (IVR) System.
Banking Ombudsman Scheme, 2006
The Banking Ombudsman Scheme, implemented under Section 35 A of the Banking Regulation Act, 1949 by the RBI, offers a cost-effective forum for addressing grievances of bank customers related to banking services. This scheme has been in operation since 2006, with a senior official from the RBI appointed as the Banking Ombudsman. All Scheduled Commercial Banks (SCB), Regional Rural Banks (RRB) and Scheduled primary co-operative banks fall under this scheme.
| Grounds For Filing Complaint Before Ombudsman |
|---|
| If reply is not received from the bank within a month after the bank has received customer’s complaint. |
| If the complaint is outrightly rejected by the bank. |
| If the complainant is not satisfied with the reply given by the bank. |
The Future of Grievance Redressal in Banking
The CMS by RBI represents a significant advancement in the banking sector’s journey towards improving systems for redressal of customer grievances. By enabling easier interaction between customers and the regulatory bodies, this system enhances transparency in communication and ensures more efficient resolution processes. As more updates and improvements are rolled out, this platform serves as a key instrument in improving the overall customer experience in banking services.
