Integrated ombudsman scheme (RBI-IOS)

What is the integrated ombudsman Scheme (RBI-IOS) 2021?

 

Till today there was different ombudsman for banks, Non- banking finance companies, and nonbank prepaid payment issuers. These ombudsmen are operated by RBI from 22 ombudsman offices spread across the country. Now all have been integrated into one. The RBI integrated ombudsman scheme (RBI-IOS) is intended to simplify and improve the grievances redress mechanism for the customer complaints against its entities. 

This scheme has the following feature:

 

• One nation one Ombudsman

• Single point of reference

• No Jurisdiction limitation

• File a complain

• Track your complaint

• File an appeal

• Give feedback.

• This will have one portal, one email address, and one postal address for the customer who would like to complain.

What is one nation one ombudsman scheme launched by RBI how it will improve grievances redressal mechanism for the banking customers?

 

Customer will have one email id, one phone number, and one mail address to complain regarding the deficiency of the services of the financial sector. The Earlier customer has to go to the mother branch for lodging the complaint now all have been integrated into one.

 

Where will this Integrated ombudsman scheme (RBI-IOS) 2021 will be implemented?

 

This will be implemented in RBI-regulated 11352 banks, NBFCs, and PPI issuers in different stages.

 

When Ombudsman scheme was launched?

 

 It was launched in 1999

 

Who will be benefited from this scheme?

 

In this around 44cr credit account holder, 220cr saving account holder, and all the customers of payment system participants will be benefited.

 

What will be the mechanism to lodge the complaint?

 

For lodging, a complaint customer will have one email, one portal, and one mailing address

 

Where will this one nation-one Ombudsman system has to be established?

 

In the RBI Chandigarh office, a centralized receipt and processing center (CRPC) has been established.

 

How this will be easier for the customer?

 

Customers, who would like to lodge the complaint, will have the single point to contact for filing the complaint, submitting the document, and tracking the status of their complaint. Now all have been integrated into one centralized scheme. By this, the whole mechanism of the ombudsman will be more efficient and simpler. Now the customer can lodge complain anywhere. There is no need to go to the mother branch.

 

How can a customer lodge the complaint?

 

For lodging a complaint please visit RBI`s Complain Management System (CMS)

Then a page will open up. You will have the option to file a complaint/ Track your complaint/File an appeal/Provide feedback. You can choose the option as per your requirement.

Alternatively, customers can also call a toll-free number CRPC in Hindi, English, and other 8 regional languages. They get the help or the information related to this from this toll-free number.

 

How can it be a better complaint resolution mechanism?

 

To stop online fraud, cyber-related fraud RBI has decided to use extensively the artificial intelligence under this scheme so that there should be less time taken and better coordination happen between banks and investigating agencies. If the action is quicker, the possibility of recovering the stolen money will be higher

 

 

Who represents the ombudsman?

 

The Ombudsman name has been derived from Swedish and it means representative. The work of the ombudsman is to assist an individual or the group in getting resolved the conflicts or concerns.

 

How many ombudsman offices are in India?

 

Around 22 regional offices of banking ombudsmen are in India.

How many NBFC Ombudsmen are in India?

 

Right now 4 NBFC Ombudsmen in India. Their offices are in Chennai, Calcutta, New Delhi, and Mumbai

 

How many ombudsman schemes are in India?

There are two types of ombudsman in India (Now all have been integrated into one). First, cover the private sector and handle complaints related to financial and consumer. The Second type of ombudsman takes care public sector. They look into the complaint related to government organizations and public services.

 

What is the main function of the ombudsman?

An official called Ombudsman is appointed by the Government. The mandate of this official is to investigate the complaints (normally lodged by the citizen) against businesses, financial institutions, Government departments, and other public entities

 

What is the power of the ombudsman?

 

The Ombudsman can investigate; prosecute on its own or a complaint by any person

 

Is there any limit to the amount of compensation?

 

Yes, there is a limit on this. If the bank has to pay the compensation to the customer then the amount which been lost due to the negligence (if any) of the bank or Rs 20 lakh whichever is lower.

 

What is the maximum compensation banking ombudsman scheme for mental harassment?

The banking ombudsman can award compensation upto 1 lakh to the customer for mental harassment.

 

When can one approach the ombudsman?

You have to approach your service provider (bank, NBFC, Digital payment platforms) regarding a particular complaint and if you are not satisfied with the response of your service provider then you can approach the ombudsman.

 

Can you challenge an ombudsman`s decision?

In normal circumstances, it is not possible though you can challenge it in the High court.

 

Is an ombudsman decision legally binding?

Yes, the ombudsman`s decision is final and binding to business without any doubt.

 

What is the institution of the ombudsman?

The ombudsman institution is the custodian of consumer rights. It acts as a mediator between the consumer and the public administration.

 

 

 

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