The Reserve Bank of India (RBI) has announced that, as of January 1, 2023, all major Indian banks will be required to adhere to the country’s new locker regulations and offer locker agreements to holders.
The RBI’s standards were updated for the first time on August 8, 2021, and the new rules went into effect on January 1, 2022. By January 1, 2023, all current locker tenants must sign a renewal agreement and provide proof of eligibility for a new locker arrangement.
Customers who use safe deposit lockers must receive updated locker agreements from all banks, as required by the Reserve Bank of India (RBI). The IBA-drafted Model Locker Agreement, which is said to be in compliance with the most recent Guidelines and Supreme Court Orders, has been instructed by the Central Bank to be utilized by all Lenders.
“Banks shall ensure that any unfair terms or conditions are not incorporated in their locker agreements,” the revised RBI guidelines state. In addition, in order to safeguard the bank’s interests, the contract’s terms must not be more burdensome than is normally required in normal business operations. By January 1, 2023, banks must renew locker agreements with existing customers.
The bank is able to compensate customers for up to one hundred times the fees they paid if clients’ belongings are stolen from the bank or damaged in a fire or building collapse.
All banks are required by the Reserve Bank of India (RBI) to install CCTV cameras in their safe deposit areas. Additionally, the Reserve Bank of India has mandated the storage of bank CCTV footage for at least 180 days. This will be useful for comparing results.
SMS notifications
The Reserve Bank of India (RBI) issued a directive directing all financial institutions to send SMS and email notifications to customers if they gain access to their lockers. Customers will be safer from fraudulent activities as a result of this warning.
Rent for a locker
According to the RBI’s guidelines, banks can now ask for a three-year term deposit when they give a locker to someone. However, banks cannot demand such term deposits from existing locker holders or from those with satisfactory operational accounts.
Bank locker rules
Locker limitations will change as of January 1, 2023, in this way to lease a locker or is at present utilizing one, they ought to consent to a locker arrangement with the bank before then.
