News : RBI Tells Banks to Appoint Internal Ombudsman to Improve Customer Service
Kolkata, India, May 11, 2015 -- Reserve Bank of India has directed all banks to appoint internal ombudsman to improve their customer service and to ensure that customer complaints in banks get resolved fast.
All public sector banks and the leading private and foreign banks would need to engage chief customer service officer, RBI said. The CCSO should be an outsider and never worked in the bank in which he or she is appointed.
Among private lenders, ICICI Bank, HDFC Bank, Axis Bank, Kotak Mahindra Bank, IndusInd Bank, Standard Chartered Bank, Citi Bank and HSBC are asked to follow the rule. These banks have been selected on the basis of their asset size, business mix, RBI said.
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The central bank introduced the banking ombudsman scheme in 1995 to provide resolve banks' customers complain at fast track. By contrast, internal ombudsman will be a forum available to bank customers for grievance redressal before they can even approach RBI's banking ombudsman.
RBI said it would issue detailed operational guidelines to the banks soon.
Posted by Veronica Silva Cusi, news correspondent
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The Reserve Bank of India is India's Central Banking Institution, which controls the Monetary Policy of the Indian Rupee.
Published: Wednesday, May 13, 2015
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