Complaints against banks and NBFCs represented 82.28 per cent and 14.53 per cent of the total complaints, respectively.
MUMBAI:
Consumer complaints
related to loans and advances accounted for the largest share among grievances against entities regulated by the RBI, rising 43%, according to the annual report of the Reserve Bank’s Integrated Ombudsman Scheme. The overall number of complaints received by the ombudsman rose 33% in FY24 to 2.9 lakh.
The report stated that 85,281 complaints were related to loans and advances, representing 29% of the total. Complaints about mobile and internet banking followed, with 57,242 cases, or 19.8% of the total. Grievances linked to deposit accounts saw a sharp increase of 34.5%, reaching 46,358 complaints during the year.
On the other hand, the growing adoption of UPI led to a 15% drop in complaints related to ATMs and debit cards, which fell to 25,231 cases. Most complaints were against services provided by banks, while NBFCs accounted for slightly less than 15% of the total grievances.
Digital platforms were the primary mode for filing complaints, with 88.8% of cases lodged through the CMS portal, email, or CPGRAMS, up from 85.6% in the previous year. The share of complaints from metropolitan and urban centers also showed a marginal increase. The five main complaint categories—loans and advances, mobile and electronic banking, deposit accounts, credit cards, and ATM/debit cards—together made up 87.2% of the total, with all categories showing increases except ATM and debit card grievances.
The ombudsman disposed of 1.9 lakh maintainable complaints, or 67.8% of the total, with 57.1% resolved through mutual agreement and 40.8% rejected due to the absence of service deficiencies. The appellate authority received 82 appeals, of which 72 were filed by complainants.
The average cost of handling a complaint fell to Rs. 1,732 from Rs. 2,041 in the previous year. The report also noted an improvement in the complaint conversion ratio across major bank groups, signalling the need for better grievance redressal mechanisms at the bank level.
