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Policy for Grievances Redressal Introduction Objective of the policy: In the present scenario of
competitive banking, excellence in customer service is the most important tool for sustained business growth. Customer complaints are part of the business life of any corporate entity. This is more so for banks because banks are service organizations. As a service organization, customer service and customer satisfaction should be the prime concern of any bank. Being fully aware that providing prompt and efficient
service is essential not only to attract new customers, but also to retain existing ones, this policy document aims at minimizing instances of customer complaints and grievances through proper service delivery and review mechanism and ensure prompt redressal of customer complaints and grievances. The review mechanism evolved through this policy shall help in identifying shortcomings in product features and service delivery as customer dissatisfaction would spoil bank’s name and image. The policy on grievance redressal is based on the under noted principles. v
Customers be treated fairly at all times v Complaints raised by customers are dealt with courtesy and
on time v Customers are fully informed of avenues to escalate their complaints/ grievances within the organization and their rights to alternative remedy, if they are not fully
satisfied with the response of the bank to their complaints v Bank will treat all complaints efficiently and fairly as they can damage the bank’s reputation and business if
handled otherwise v The employees must work in good faith and without prejudice to the interests of the customer In order to make bank’s redressal mechanism more meaningful and effective, and ensure that the redressal sought is just and fair and is available within the given frame-work of rules and regulation, this policy document would be made available at all branches. The concerned employees shall be made aware about the complaint handling process.
1.1 The customer complaint arises due to:
- The attitudinal aspects in dealing with customers
- Inadequacy of the functions/ arrangements made available to the customers or gaps in standards of services expected and actual services rendered
The customer is having full right to register his complaint if he is not satisfied with the services provided by the bank. He can give his complaint in writing, orally or over telephone. If customer’s complaint is not resolved within given time or if he is not satisfied with the solution provided by the bank, he can approach Banking Ombudsman with his complaint or other legal avenues available for grievance redressal. 2. Internal Machinery to handle Customer complaints/grievances 2.1 Customer Service Committee of the Board
This sub-committee of the Board will formulate a comprehensive Deposit Policy incorporating the issues such as procedure for permitting operations of an account on the death of a depositor, the product approval process, annual survey of depositor satisfaction and the triennial audit of such services. The committee
would also look into complaints received from borrowers of the bank and suggest immediate redressal measures taking into account the fair practices code of the Bank. The Committee would also examine any other issue having a bearing on the quality of customer service rendered. This Committee would also review the functioning of the Standing Committee on Customer Service. 2.2 Standing Committee on Customer Service The Standing Committee on
Customer Service shall comprise of Executive Director of the bank, three senior executives and two eminent non-executives drawn from the public as members. The committee would have the following functions. v
Evaluate feed-back on quality of customer service received from various quarters. The committee would also review comments/feed-back on customer service and implementation of commitments in the Code of Bank’s Commitments to Customers received from BCSBI. v The Committee shall ensure that all regulatory instructions regarding customer service are followed. Towards this, the committee would obtain necessary feed-back from the managers/functional heads.
v The Committee also would consider unresolved complaints/grievances referred to it by functional heads responsible for redressal and offer their advice.
v The committee would submit report on its performance to the customer service committee of the board at quarterly intervals.
v The committee would initiate immediate steps for redressals wherever non-compliance of the codes are reported. Nodal
Officer and other designated officials to handle complaints and grievances would be appointed. Nodal Officer of the rank of General Manager/ Deputy General Manager will be responsible for the implementation of customer service and complaint handling for the entire bank. 2.3. Mandatory display requirements
It shall be ensured that the customers are provided the following information: v
Appropriate arrangement for receiving complaints and suggestions. v The
name, address and contact number of Nodal Officer(s) is furnished v Contact details of Banking Ombudsman of the area are provided v Code of bank’s commitments to Customers/Fair Practice code
4. Resolution of Grievances Branch Manager is responsible for the resolution of complaints/grievances in respect of customer’s service by the branch. He would be responsible for ensuring closure of all complaints received at the branches. It is his foremost duty to see that the complaint should be resolved
completely to the customer’s satisfaction and if the customer is not satisfied, then he should be provided with alternate avenues to escalate the issue. If the branch manager feels that it is not possible at his level to solve the problem he can refer the case to Head Office for guidance. 4.1 Time frame Complaint has to be seen in the right perspective because they indirectly reveal a weak spot in the working of the bank. Complaint received should be analyzed from all possible angles. Specific time schedule shall be set up for handling complaints and disposing them at all levels including branches and head office. Branch manager shall try to resolve the complaint within specified time frame annexed
hereto. Communication of bank’s stand on any issue to the customer is a vital requirement. Complaints received that require some time for examination of issues involved shall invariably be acknowledged promptly. At the end of
every month, branches shall send action taken report on complaints received to the head office. 5. Interaction with customers Recognizing that customer’s expectation/requirement/grievances can be better appreciated through personal
interaction with customers by bank’s staff structured customer meets, say once in a month shall be conducted to impress upon the customers that the bank cares for them and values their feed back/suggestions for improvement in customer service. As many of the complaints arise on account of lack of awareness among customers about bank services, such interactions will help the customers appreciate banking services better. As for the bank, the feedback from customers would be valuable input for revising its product and services to meet customer requirements. 6. Sensitizing operating staff on handling complaints Staff members shall be properly trained for handling complaints. As we deal with people, difference of opinion and friction could arise even on small issues. The staff shall work with an open
mind and a smile on the face to win the customer’s confidence. It would be the responsibility of the Nodal Officer to ensure that internal machinery for handling complaints/grievances operates smoothly and efficiently at all levels. He should give feed back on training needs of staff at various levels to the HR Dept. ANNEXURE TIME FRAME
Nature of complaint |
Time limit for redressal |
Deposits Rate of interest,
deposit receipts, standing instructions, issue of pass books etc., |
30 days |
Advances Rate
of interest, processing, bank guarantees, etc., |
30 days |
Bills, DDs, Cheques Issue,
collection, etc., |
20 days |
Service charges |
15 days |
Service related complaints
Deficiency in customer service |
20 days |
Safe Deposit Lockers |
15 days |
Cash handling |
15 days |
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