The credit / debit card market has witnessed a fast growth with increasing number of banks offering the facility, more establishments willing to accept them and more consumers finding it a convenient mode of payment.
In such a scenario, the Reserve Bank of India has issued several guidelines to protect the interests of card holders. However, issues persist.
A college student recently approached us with a problem. Almost a year ago, when she tried to withdraw money from another bank's ATM, she got the message ‘Transaction Failed'. However, the amount was debited from her account. She immediately gave a letter to her bank's branch manager who promised to set things right at the earliest. But nothing happened even after a month, and when she enquired she was treated with contempt. Even after innumerable visits, the amount was not credited back. Now, we have taken up the matter with the bank. The complainant has also been advised to approach the Ombudsman's office for redressal.
RBI's directions dated May 27, 2011 regarding failed ATM transactions mandate card-issuing banks to resolve complaints by re-crediting the customers account with the amount within seven working days from the date of complaint. It also states that banks have to pay customers Rs. 100 a day for delays beyond the stipulated time frame and the compensation must be credited to the account of the customer without any claim being made by the customer. Non-adherence attracted a penalty as well. The only condition is that the complaint should have been lodged within 30 days of the transaction.
Earlier, a similar complaint came up before the Banking Ombudsman (BO). The complainant had tried to withdraw money through the ATM of another bank. Cash was not dispensed, though his account was debited Rs. 40,000.
The matter was reported to both the banks, but the customer's grievance was not redressed for about two years. A conciliation meeting was convened, and it was found that the complainant's bank had not taken the efforts to sort out the matter. The bank agreed to pay the disputed amount and Rs. 10,000 as service gesture to the customer.
Today, with banks making an all-out effort to drive home the message that ATM is the best-switch option, it is crucial for them to adopt a pro-consumer approach, in order to instil faith in the system.
(The writer works with CAG, which offers free advice on consumer complaints to its members. For membership details / queries contact 2491 4358 / 2446 0387 or helpdesk@cag.org.in) </body></body>
