Mumbai: Reserve Bank of India (RBI) Governor Sanjay Malhotra has instructed the banks not to pressurize the depositors to seek their customers repeatedly to ask for the documents.
Addressing the RBI Lokpal’s annual conference, Malhotra said that once a document is handed over to a unit (financial institution) under the control of a financial regulator, it may be possible for others to get them from a general database, said that the KYC request from account holders repeatedly is a deferred inconvenience. He further stated that banks should ensure that once the account holder submits documents to the financial institution, the same documents are not sought again from the account holder.
He expressed displeasure over the lack of arrangements in branches or offices to get information from the central database and said that the account holders were causing inconvenience.
In the financial year 2024, banks received about one crore complaints from customers. Of these, 57 percent of the complaints required the intervention of RBI Lokpal. He said that this is an unsatisfactory situation.
