Know BCSBI

1. What is BCSBI?

The Banking Codes and Standards Board of India is a society registered under the Societies Registration Act, 1860 and functions as an autonomous body, to monitor and assess the compliance with codes and minimum standards of service to individual customers to which the banks agree to.

2. How can one contact the BCSBI?

Members of public can contact the BCSBI either on its website or at its postal address. The address of the BCSBI is as under:

The Banking Codes and standards Board of India

Reserve Bank of India Building

C-7, 4 th Floor,

Bandra Kurla Complex,

Mumbai -400 051.

Ph. No. 022- 26573715, 26573724.

Fax No. 022- 26573719.

Website address: www.bcsbi.org.in

Helpdesk: help.bcsbi@rbi.org.in

3. How does the BCSBI impact the common man?

The main function of the Board is to ensure adherence to the "Code of Bank's Commitment to Customers". The Code is voluntary and sets minimum standards of banking practices for banks to follow when they are dealing with individual customers in their day-to-day operations. The Code is not only meant to provide protection to the individual customers but is also expected to generate awareness in the common man about his rights as a consumer of banking services. Therefore the common man is the raison d’être of the BCSBI.

4. Who can become a member of the BCSBI?

Any Scheduled Commercial Banks which agrees to adhere to the Code and sign the covenant and pays a non refundable registration fee of Rs 10000/- to the BCSBI may apply for membership.

5. How can anyone find out which bank is a member of the BCSBI?

This can be ascertained by a customer from his bank. The information will also be available on the website of the BCSBI and IBA and also made available on request.

6. What is the Code of Bank's Commitment to Customers about?

The Code represents each member bank's commitment to minimum standards of service to individual customers in relation to products and services offered by the bank, e.g.

•            Deposit accounts

•            Safe deposit lockers

•            Settlement of accounts of deceased account holders

•            Foreign exchange services

•            Remittances within India

•            Loans and advances and guarantees

•            Credit cards

•            Internet banking

In these areas the Code, inter alia, dwells upon

•            Interest rates

•            Tariff schedule

•            Terms and conditions governing relationship between the bank and the customer

•            Compensation for loss, if any, to the customer due the acts of omission or commission on the part of the bank

•            Privacy and confidentiality of the information relating to the customer

•            Norms governing advertisements, marketing and sales by banks

7. What should a customer do if his bank does not provide services as promised in the Code?

Every Member bank is required to:

•            Have a Help desk/Helpline at the branch

•            Have a Code Compliance officer at each Controlling office above the level of the branch.

•            Display at each branch name and contact number of Code Compliance Officer.

•            Display Name and address of the Banking Ombudsman.

This is to help the customer in case his bank does not provide services as promised in the Code.

The customer should first approach the help desk of the branch/bank. In case the issue is not resolved, the Code Compliance Officer of the bank may be approached by the complainant. In case the issue is still not resolved to the satisfaction of the customer he should take it up with the Banking Ombudsman.

8. What is the difference between the Banking Ombudsman and the Banking Codes and Standard Board of India?

The Banking Ombudsman is a redressal mechanism to attend to disputes between banks and its customer as also to attend to individual complaints relating to deficiencies in banking services. On the other hand, the BCSBI (Board) is an industry watch dog to oversee compliance with the "Code of Bank's Commitment to Customers".  It is not a redressal mechanism and will look into an individual complaint only to the extent it points to any systemic failure in compliance with Code.

9. While the “Code of Bank’s Commitment to Customers” lays down the bank’s obligations towards its customers, should there not be a complementary obligation of the customer to his bank?

The Code is a voluntary initiative by a bank and is also a unilateral commitment by the bank to its individual customers to deal with them in a transparent and fair manner in its day to day operations. It goes beyond the conventional contractual framework wherein one party’s performance is contingent upon the other party’s performance/commitments. The Code sets out the banks obligations to its individual customers which, when seen from the viewpoint of the customer, form his Charter of Right vis-à-vis his bank

10. The Code of Bank’s Commitment to Customers is applicable only those banks which are members of BCSBI. How will individual customers of non-member banks be protected?

Individual complaints from customers are required to be dealt with by the Banking Ombudsman or the Customer Service Department of the Reserve Bank of India. BCSBI monitors only member bank’s compliance with its commitments, by ensuring that the bank has the appropriate system and procedures in place, at all its branches, for rendering customer service as committed to by the banks and that these are effectively in operation. Therefore, in the case of a non-member bank, while a single individual may get his complaint redressed through the Banking Ombudsman, the bank may or may not have the appropriate systems and procedures in place for rendering fair and transparent customer service and the customers of such a bank will have to be aware that they are dealing with a bank which is not committed to fair practices and transparent dealings even in letter, let alone in spirit.

“An Institution’s prestige is measured by achievement of its goals.”