BCSBI to publicly declare names of banks that fail to adhere to customer service
Updated: May 21, 2014 04:00:50pm
Mumbai, May 21 (KNN) The autonomous body Banking Codes Standards Board of India (BCSBI) will put the bank's performance ratings on the basis of customer services in the public domain from next year.
BCSBI rates banks on customer services on five parameters — information dissemination, transparency, customer-centricity, grievance redressal system and customer feedback, BCSBI Chairman AC Mahajan has said at the annual conference of Principal Code Compliance Officers.
BCSBI said it has already started grading banks based on the quality of their services and hopes that this will force banks to behave better.
In FY13, the majority of complaints were related to ATM, debit card transactions; BCSBI said that there is a need to streamline the complaint collecting system before grading can be fool proof.
According to a media report, the governing council decided that having monitoring codes for so many years, why not start rating banks. This year the council sent its people to 3000 plus branches at 60 centres of 48 banks. The information that they received has been now put into a format prepared by the most leading rating agency Crisil and the rating has been arrived at.
“10 per cent of member banks rated by BCSBI in 2012-13 had good ratings. 52 per cent earned above average ratings, 38 per cent earned average, below average ratings. These clearly show that a number of banks need to tone up their code implementation,” said Executive Director, RBI, Deepali Pant Joshi.
According to Mahajan, of the 48 banks rated for customer service, only five received high ratings; 25 were rated above average; 17 average; and one below average.
The ratings have been shared with the banks. The ratings were given based on a survey conducted by BCSBI across 69 cities, involving 3,000 branches and 6,000 customers.
From next year, the ratings will be put in the public domain. However, banks cannot use these ratings to solicit business.
BCSBI was set up in 2007 by the Reserve Bank of India to ensure that the common consumer of financial services from the banking industry gets what he/she has been promised.
BCSBI is an independent and autonomous institution to monitor and ensure that the Banking Codes and Standards adopted by the banks are adhered to in true spirit while delivering their services. (KNN/SD)
BCSBI rates banks on customer services on five parameters — information dissemination, transparency, customer-centricity, grievance redressal system and customer feedback, BCSBI Chairman AC Mahajan has said at the annual conference of Principal Code Compliance Officers.
BCSBI said it has already started grading banks based on the quality of their services and hopes that this will force banks to behave better.
In FY13, the majority of complaints were related to ATM, debit card transactions; BCSBI said that there is a need to streamline the complaint collecting system before grading can be fool proof.
According to a media report, the governing council decided that having monitoring codes for so many years, why not start rating banks. This year the council sent its people to 3000 plus branches at 60 centres of 48 banks. The information that they received has been now put into a format prepared by the most leading rating agency Crisil and the rating has been arrived at.
“10 per cent of member banks rated by BCSBI in 2012-13 had good ratings. 52 per cent earned above average ratings, 38 per cent earned average, below average ratings. These clearly show that a number of banks need to tone up their code implementation,” said Executive Director, RBI, Deepali Pant Joshi.
According to Mahajan, of the 48 banks rated for customer service, only five received high ratings; 25 were rated above average; 17 average; and one below average.
The ratings have been shared with the banks. The ratings were given based on a survey conducted by BCSBI across 69 cities, involving 3,000 branches and 6,000 customers.
From next year, the ratings will be put in the public domain. However, banks cannot use these ratings to solicit business.
BCSBI was set up in 2007 by the Reserve Bank of India to ensure that the common consumer of financial services from the banking industry gets what he/she has been promised.
BCSBI is an independent and autonomous institution to monitor and ensure that the Banking Codes and Standards adopted by the banks are adhered to in true spirit while delivering their services. (KNN/SD)
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