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RBI to strengthen banks' internal ombudsman: Can you hope for faster grievance redressal?

RBI to strengthen banks' internal ombudsman: Can you hope for faster grievance redressal?

Finance
Going forward, bank customers can hope to get quicker arbitration from the Internal Ombudsman (IO) set up by the bank as the RBI plans to strengthen these ombudsmen and also make them more independent. In the Statement on Developmental and Regulatory Policies issued on August 1, 2018, RBI stated that it has been decided to enhance the independence of the IO while simultaneously strengthening the monitoring system over functioning of the IO mechanism. The revised instructions in this regard will be issued by the end of September 2018. Customer complaints in the banking system are increasing. Even though the banks have their own grievance redressal system in place including an Internal Ombudsman (IO), the customers often feel that their complaints remain largely unresolved and then have to ...
Open Banking 'revolution' to challenge banks' dominance

Open Banking 'revolution' to challenge banks' dominance

Business
A fundamental change to the way people can bank, manage and spend their money in the digital world is under way.A change in the law and the start of the Open Banking system means people can allow businesses, other than their bank, to access their financial data.Organisers say this has the potential for consumers to get better deals, such as cheaper overdrafts, and to speed up the switching process.But warnings over fraud risks have already been issued.As part of the same legislation, surcharges for payments made by credit card, debit card, or other payment systems such as PayPal will be banned.How it worksTraditionally, banks have held all our information about our past transactions and spending habits.A change in UK law now means that banks and building societies must allow regulated busi...