RBI Strengthens Grievance Redressal: New Ombudsman Guidelines

The Reserve Bank of India has issued guidelines for appointing internal ombudsmen in banks and financial entities to enhance grievance resolution mechanisms. Separate instructions cover various financial institutions, requiring the appointment of experienced ombudsmen to review unresolved complaints, thus boosting customer service within the regulated entities.

The Reserve Bank of India (RBI) unveiled new guidelines on Wednesday aimed at bolstering the internal ombudsman mechanism in banks and non-banking financial companies to address customer grievances more effectively.

The guidelines span across various financial institutions, including commercial banks, small finance banks, and credit information companies, to ensure comprehensive and efficient grievance resolution.

The RBI mandates that internal ombudsmen should be seasoned officers, possessing at least seven years of relevant experience, to review complaints partially resolved or wholly rejected by the entities, thereby reinforcing customer service standards.

(With inputs from agencies.)