A recent press release quotes the Governor of reserve bank of India discussing the need to create Ombudsman in all banks in India. After my recent confrontation with two Indian banks, one a public sector bank and the other a private on an ATM complaint and the support that I received from the social media which hastened its settlement, this news was music to my ears.
My earlier experiences are contained in my blog on "Deceived by ATM or bank" and "Compatriots turned ombudsman on social media". Even as I was savouring the intent of the RBI statement, a new experience had begun-this time with the only account I had with a multi-national bank. Two decades ago many would recollect the ordeals of banking with any branch of public sector banks. They were not linked with their branches spread across the country, the staff were not customer friendly, paper transactions were painfully slow - in short banking was a forgettable experience.
When the doors were thrown open to the private sector in retail banking, we were suddenly exposed to efficiency and infrastructure hitherto unseen in India. Some of us moved our accounts to these swanky,efficient and customer friendly entities. Much like the aviation sector which improved with competition, banking too saw some seminal changes. However over a period of two decades, the same multi-national bank began to degenerate.
Customer relations started to degrade when this multi-national bank(MNB)allegedly colluded with unethical practices associated with money laundering in Europe. Perhaps owing to scrutiny of procedures and processes, human interface with customers was minimized substantially at the cost of harassment to customers. For instance, cheques were dishonoured on regular basis due to alleged discrepancies of signatures stored on the computer. While public sector banks found means to communicate rapidly with their customers to reduce inconvenience, the MNB made it impossible for the customer to reach them. Queries on internet banking elicited no response for 72 hours or more. The response when received failed to address the concern of the customer. Visits to the branch became necessary despite the facility of internet banking.
Let me cite two examples to illustrate my angst. I personally deposited a cheque into my account and received the counter foil. Weeks later, when the cheque remained uncredited, I complained on the internet, only to be defeated by inane replies.All the telephones of local branches are barred for incoming calls, a fact not revealed to the customer. I had to once again use net banking, to point out a possible error on the deposit slip which might have caused the delay. During this whole process, neither did I receive the cheque back as invalid nor did the bank call me to verify my facts.Ergo, I decided to confront the staff at the branch. I called up the toll free number and asked if the bank was open on that day which happened to be Budh Jayanti. Having received a positive response I traveled a considerable distance only to find the bank closed. Wait, now comes the cherry on the cake.
Having reached the bank, I decided to use the ATM at their main branch. The MNB had a number of security staff monitoring their machines. Out of the two machines one was under repairs. Just when I was about to insert my card on the operational machine, the guard urgently accosted me with a "no-no". Perplexed with the agility and alertness of the guard when I asked him what was the commotion about, he responded with,"Don't insert your card. The machine will swallow it and you will have to return tomorrow to collect it" A MNB with nonoperational machines under their very nose, in the largest branch in town.
Not surprisingly this was the last straw that broke the camel's back.I decided to close my account with this bank. Three visits and numerous calls later, with all my documentation for closure done, I am waiting for the cheque for the balance of my money lying with them. Since I cannot call the branch, my complaints on the net are being replied from Kolkotta which is liaising with Pune to release my dues. Our friendly Public sector bank on the other hand, is increasingly more accessible and efficient on the net too.
Mr Governor of RBI, please expedite the appointment of Ombudsman for all banks in India at the earliest.You will do well to start with HSBC -the MNB in question. Not many have the time or the facilities to deal with non-customer-friendly banks who need to be penalized for customer neglect, driven by emphasis on procedures, rather than on customer satisfaction.
My earlier experiences are contained in my blog on "Deceived by ATM or bank" and "Compatriots turned ombudsman on social media". Even as I was savouring the intent of the RBI statement, a new experience had begun-this time with the only account I had with a multi-national bank. Two decades ago many would recollect the ordeals of banking with any branch of public sector banks. They were not linked with their branches spread across the country, the staff were not customer friendly, paper transactions were painfully slow - in short banking was a forgettable experience.
When the doors were thrown open to the private sector in retail banking, we were suddenly exposed to efficiency and infrastructure hitherto unseen in India. Some of us moved our accounts to these swanky,efficient and customer friendly entities. Much like the aviation sector which improved with competition, banking too saw some seminal changes. However over a period of two decades, the same multi-national bank began to degenerate.
Customer relations started to degrade when this multi-national bank(MNB)allegedly colluded with unethical practices associated with money laundering in Europe. Perhaps owing to scrutiny of procedures and processes, human interface with customers was minimized substantially at the cost of harassment to customers. For instance, cheques were dishonoured on regular basis due to alleged discrepancies of signatures stored on the computer. While public sector banks found means to communicate rapidly with their customers to reduce inconvenience, the MNB made it impossible for the customer to reach them. Queries on internet banking elicited no response for 72 hours or more. The response when received failed to address the concern of the customer. Visits to the branch became necessary despite the facility of internet banking.
Let me cite two examples to illustrate my angst. I personally deposited a cheque into my account and received the counter foil. Weeks later, when the cheque remained uncredited, I complained on the internet, only to be defeated by inane replies.All the telephones of local branches are barred for incoming calls, a fact not revealed to the customer. I had to once again use net banking, to point out a possible error on the deposit slip which might have caused the delay. During this whole process, neither did I receive the cheque back as invalid nor did the bank call me to verify my facts.Ergo, I decided to confront the staff at the branch. I called up the toll free number and asked if the bank was open on that day which happened to be Budh Jayanti. Having received a positive response I traveled a considerable distance only to find the bank closed. Wait, now comes the cherry on the cake.
Having reached the bank, I decided to use the ATM at their main branch. The MNB had a number of security staff monitoring their machines. Out of the two machines one was under repairs. Just when I was about to insert my card on the operational machine, the guard urgently accosted me with a "no-no". Perplexed with the agility and alertness of the guard when I asked him what was the commotion about, he responded with,"Don't insert your card. The machine will swallow it and you will have to return tomorrow to collect it" A MNB with nonoperational machines under their very nose, in the largest branch in town.
Not surprisingly this was the last straw that broke the camel's back.I decided to close my account with this bank. Three visits and numerous calls later, with all my documentation for closure done, I am waiting for the cheque for the balance of my money lying with them. Since I cannot call the branch, my complaints on the net are being replied from Kolkotta which is liaising with Pune to release my dues. Our friendly Public sector bank on the other hand, is increasingly more accessible and efficient on the net too.
Mr Governor of RBI, please expedite the appointment of Ombudsman for all banks in India at the earliest.You will do well to start with HSBC -the MNB in question. Not many have the time or the facilities to deal with non-customer-friendly banks who need to be penalized for customer neglect, driven by emphasis on procedures, rather than on customer satisfaction.
