Frustrated with Bank Service Refusal: Can They Really Deny Help and Who Should I Contact?

I am not sure if I am in the right place to find a solution for this query, but it would be great if someone could help me.

Issue with Bank Service Refusal

One of the reputed private sector banks close to our office refused to provide service. The bank manager gave me two reasons: firstly, they do not have enough manpower for service, and secondly, the service they provide to us does not bring them credit.

Seeking Services at a Different Branch

Can anyone help me understand if it is wrong to seek services at the closest branch to our office, even though I opened an account eight years ago (at that time, this branch did not exist) in their main branch? Is it necessary for us to always travel to the main branch to receive services?

Lack of Response from Bank Officials

I have been in touch with their call center, which only provides query numbers and asks us to wait an additional 2 days each time. I have already waited for more than a week now, and none of the seniors have gotten involved, even though the communication is copied to every bank official concerned, from the Operations head to the Branch head.

Can a Bank Refuse Service?

Can a bank refuse service to its customers and provide reasons for doing so?

Guidance Needed

Could someone guide me on the right person in the bank to approach in such circumstances?

Thanks and regards

I hope your query is about the salary accounts of the employees that some bank near your office has, or is it about this company's current account? Deciding which kind of customers to retain or not to retain is a decision that the service provider must make. The volume of transactions is crucial. Any businessman will seek high-value transactions as low-value transactions can hinder business growth. The decision of how long to continue with low-value transactions or when to discontinue the service lies with the discretion of the service provider.

Some courier companies inform their clients that if they want their courier to report to the office every day, a certain volume of business per month must be maintained. Otherwise, the courier should be sent to the nearest branch for onward delivery. The Branch Manager has the authority to decide on providing partial services, and the client cannot challenge this decision.

Consider reaching out to another bank. They might be willing to offer you the service.

Thank you,

Regards,
Dinesh Divekar

It would be better if you had disclosed the bank name. If your service branch is different from the branch near your office, you should apply for a change in branch.

Grievance Management System for Public Sector Banks

Secondly, for public sector banks, there is a grievance management system. I have used this on various occasions for my personal account, and even when I was not a customer, I still managed to receive a satisfactory reply on the matter.

Filing a Complaint with the RBI

You may directly complain to the RBI (Reserve Bank of India). Please visit the following link for details: https://secweb.rbi.org.in/BO/precompltindex.htm. If you lodge a complaint by visiting the above-mentioned link, the RBI will transfer the same complaint to the nodal officers of the respective bank, and this process is effective.

Link: https://secweb.rbi.org.in/BO/Complai...alOfficer.html

Regards,
Govind

Understanding Core Banking and Your Options

Most banks worth banking with have long moved into core banking. The concept of core banking is that all branches (or most of them) are linked, and customers can bank at whichever branch they wish. Some banks have restrictions on a few transactions due to security reasons. For example, HDFC will refuse cash or self-cheques other than at the home branch.

If it is a core banking system that is refusing service, I am shocked.

Your Choices

- Close your banking relationship with this bank and choose a better one. Tell me where you are; I know sales executives from practically every bank will be over at your office to get account opening forms signed.

- If you wish to retain your relationship, go to the head office or zonal office and meet the customer service head, or the branch manager at your home branch, and complain to them. Call centres are generally known to be useless.

- If you are sure that multi-branch banking was a part of your service agreement when you opened the account, and you want to make trouble, complain to the RBI and do complain to the nodal officer at the grievance cell (every bank by law has one).

You could also file a consumer court complaint against deficiency of service. But then get evidence or a witness to the refusal to provide service. Again, remember that anything to do with courts is expensive and time-consuming.

Regards

Appreciate your valuable inputs. We currently maintain our current and forex accounts in two banks. Hence, the said bank is only a standby. My only concern was how they can refuse to accept forex documents, which we went to hand over to their bank (they did not come to pick them up at our office). Other bankers do provide us services; they just need to scan and send them to their head office (since the head office does not accept scanned copies directly from customers). The reason for the shortage of manpower in the bank and not getting credit was a shock, as these are beyond our reach as customers of the bank. (I do not want to name the bank publicly since that might give it a bad name, and that is not my intention). The service has nothing to do with the transaction limit or the volume of business of our company, as they did provide us these services earlier.

We surely would change the bank since today we have a lot of options and need not go behind one bank. But I hope everyone faces problems like me; the salespersons promise sky-high services, and later on, they leave the job, and we are left at the mercy of service persons who make us taste the mud on the ground.

Thank you all.

Regards,
JD

Service Quality Issues in Indian Banks

Consistency of service quality is a problem in India. Each bank operates in its own world, and due to high volumes, customer service is often inadequate. Banks are aware of this and don't care much since there are enough customers at the lower level to replace those who leave. Check out the website called mouthshut.com. You will find complaints about practically every bank. Generally, action takes place when you reach out to top management. I try to ensure that I have contacts within the bank so that complaints go through to the top, and believe me, in private banks, the person can (and will) lose their job for what they did to you.

I think you should simply go and meet the branch and zonal head of the home branch and tell them why you are switching to a different bank. The situation will change rapidly.