Banking Ombudsman Scheme: An Analysis
- Bihar Journal of Public Administration
- 16(2), July-Dec. 2019. p. 157-168
The Banking Ombudsman Scheme developed in response to two trends – the need for an alternative to legal action for customers seeking redressal against Banks and an increasing policy guidelines by the Reserve Bank of India on self-regulation. Alternative Dispute Resolution (ADR) mechanisms formed the basis of the model because of a growing recognition that ADR processes had the potential to limit costs, preserve relationships and offer more flexibility than formal, adversarial court processes. At the same time, this does not preclude customers from accessing courts and this is voluntary for the customer. The Scheme is designed so that parties need not be legally represented. The processes of the Scheme are inquisitorial and informal and so a party is not required to articulate a dispute in the form of pleadings or refer to the relevant law. The fifth revision of the scheme was done in the year 2017 to make it more effective. The present study is an attempt to analyse the performance of the scheme from 2015-2018. _ Reproduced
Banking Ombudsman - India Customer - India Complaints - India Reserve Bank of India Redressal - India