READER EDUCATION INITIATIVE

It was complained that the application for booking of Nano car was not processed due to failure of the bank to realise the cheque for advance money deposited with the application. On inquiry with the bank it transpired that the bank's designated branch had not processed the application for technical reasons.

Thus, the complainant was deprived of the opportunity of allotment of the car. The bank admitted deficiency in service in the hearing. As it was a system failure on the part of the bank and the complainant was not at fault, the banking ombudsman directed the bank to resolve the contentious issue to the satisfaction of the complainant within 15 days. The bank complied with the directions and got an out-of-turn allotment of the Nano to the complainant with intervention of their head office.

Delay and non-sanction of education loan: A student had applied for education loan from a bank for pursuing MBA course. He had deposited Rs 5,000 with the business school as registration fees.

The branch manager assured that the loan would be provided without delay. However, after three months, the branch returned all the papers stating that the loan disbursement officer was ill because of which they were unable to provide the education loan.

With the intervention of the ombudsman, it was agreed by both the parties that the complainant would resubmit the loan application and the bank would consider the same again. Moreover, since the complainant had lost Rs 5,000 which had been paid as registration fee to the Institute, the bank agreed to pay Rs 5,000 as a token compensation and another Rs 5,000 as a service gesture.

The education loan was sanctioned subsequently by the bank and the student got admitted to the MBA course in the same business school.

(Source: Annual report of the Banking Ombudsman Scheme.)

This is the ninth in the series on redressal of customer grievances by the Banking Ombudsman being carried in these columns.

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