· bank-complaint  · 2 min read

What are the powers and functions of the Ombudsman?

The Ombudsman appointed by the Reserve Bank of India (RBI) possesses certain powers and functions to effectively address and resolve complaints lodged by customers against RBI-regulated entities. The powers and functions of the Ombudsman include:

The Ombudsman appointed by the Reserve Bank of India (RBI) possesses certain powers and functions to effectively address and resolve complaints lodged by customers against RBI-regulated entities. The powers and functions of the Ombudsman include:

The Ombudsman appointed by the Reserve Bank of India (RBI) possesses certain powers and functions to effectively address and resolve complaints lodged by customers against RBI-regulated entities. The powers and functions of the Ombudsman include:

  1. Complaint Examination: The Ombudsman is responsible for examining the complaints received and determining their validity. They assess whether the complaint falls within their jurisdiction and whether it fulfills the criteria for further investigation.

  2. Mediation and Conciliation: The Ombudsman endeavors to facilitate resolution through mediation or conciliation between the complainant and the bank or NBFC involved. They work as an impartial mediator to encourage both parties to reach a mutually acceptable solution.

  3. Information Gathering: The Ombudsman has the authority to call for any necessary information or certified copies of documents related to the complaint. They can summon witnesses and examine them under oath, if required, to gather relevant information and evidence.

  4. Award/Decision Making: In case mediation or conciliation does not result in a satisfactory resolution, the Ombudsman has the power to pass an award or make a decision based on the merits of the complaint. The award is binding on the bank or NBFC involved, subject to any legal remedies available.

  5. Redressal Measures: The Ombudsman can direct the bank or NBFC to take specific measures to address the complaint, such as rectifying errors, providing compensation or restitution, or taking corrective actions to prevent similar issues in the future.

  6. Penalties and Sanctions: The Ombudsman has the authority to impose penalties or sanctions on banks or NBFCs for non-compliance with their directives or for any violation of regulatory guidelines. These penalties can be monetary fines or other disciplinary actions as deemed appropriate.

  7. Communication and Reporting: The Ombudsman communicates the outcome of the complaint to both the complainant and the bank or NBFC involved. They provide a detailed explanation of the decision or award and any actions to be taken. The Ombudsman also prepares periodic reports on complaint patterns, trends, and systemic issues for the RBI’s reference.

The powers and functions of the Ombudsman are designed to ensure fair and efficient resolution of complaints, protect consumer rights, and maintain the integrity and stability of the banking and financial system.

    Share:

    Related Posts

    View All Posts »
    · 2 min read · bank-complaint

    Can the Banking Ombudsman reject a complaint?

    Yes, the Banking Ombudsman has the authority to reject a complaint under certain circumstances. While the Ombudsman’s primary role is to resolve complaints and facilitate a fair resolution between the complainant and the bank or NBFC, there are situations where a complaint may be rejected. Some of the reasons for rejection include:

      · 3 min read · bank-complaint

      Can We Take Legal Action Against a Bank or NBFC?

      Banks and Non-Banking Financial Companies (NBFCs) are vital pillars of our financial system, serving as essential intermediaries for various financial services. While these institutions strive to maintain ethical practices, there might be instances where consumers face issues that cannot be resolved through regular channels. In such cases, the question arises: Can we take legal action against a bank or NBFC? Let’s explore the circumstances under which legal action is possible and the steps to follow in seeking justice.

        · 3 min read · bank-complaint

        How to Complain Against a Bank or NBFC for Recovery Harassment

        Banks and Non-Banking Financial Companies (NBFCs) play a crucial role in our financial lives, providing us with various services like loans and credit facilities. While most of these institutions maintain ethical practices, some unfortunate individuals might experience recovery harassment during debt collection. Unfair tactics, incessant calls, and aggressive behavior can turn an already stressful situation into a nightmare. If you find yourself facing such an issue, it’s essential to know your rights and how to complain effectively against a bank or NBFC for recovery harassment.