Iba Recommends Customer Service Guidelines

The managing committee of the Indian Banks' Association (IBA) has suggested its member banks to double the limit for immediate credit of outstation instruments from Rs 7,500 to Rs 15,000 for 'duly introduced and satisfactorily operated accounts'.

This is one of the nine suggestions that the bankers' body gave to improve customer services. Doubling of the limit to Rs 15,000 will require the Reserve Bank of India (RBI) to issue a circular notifying the changes.

Immediate credit of outstation instruments has been recommended in view of the fifth pay commission hiking salaries of government employees. Two years ago, the limit had been revised upward from Rs 5,000 to Rs 7,500.

 

The committee has pushed for waiver of collection charges on outstation cheques of up to Rs 5,000 representing pension for ex-servicemen / senior citizens / pensioners, who are maintaining accounts with rural branches.

It has also called for waiver of collection charges for physically-challenged persons (who have suffered loss of use of hand / hands and / or leg / legs) including blind for instruments up to Rs 10,000.

Even waiver of collection charges in case of delays in collection beyond specified periods (10 / 14 days) has also been sought.

The association advised the banks to consider free remittance facility by debiting to the savings accounts maintained by senior citizens for personal uses.

It also suggested issue of ATM cards free of charge for all eligible customers, who qualify the eligibility criteria fixed by the bank. It further asked the banks to examine the possibility of offering Internet banking facilities without levy of any fees while extending facility of ATM cards.

In order to improve accountability, banks have been asked to acknowledge loan applications, received complete in all respects, on the day of receipt at the branches.

In respect of loans up to Rs 25,000, extended to SSI units / small borrowers / sponsored schemes, etc., loan applications need to be disposed of within the time norms (two weeks) prescribed by the Reserve Bank of India. In respect of loans up to Rs 5 lakh, banks should dispose of loan applications in four weeks from the date of receipt provided applications received are complete in all respects and accompanied by all the requisites as per the checklist.

The association said adopting this nine-point package, customer services in banks will further improve substantially thereby raising 'customer-satisfaction level'.