MUMBAI: The RBI on Monday extended till December-end for banks to enter into revised agreements with safe deposit locker holders as a large number of customers are yet to do so.
In August 2021, the Reserve Bank of India (RBI) had asked banks to come up with revised agreements by January 1, 2023, taking into account various developments in banking and technology, the nature of consumer complaints, as well as with existing locker holders. Feedback received.
“However, it has come to the notice of RBI that a large number of customers have not yet signed the revised agreement.
“In many cases, banks have not yet informed the customers about the need to do so before the stipulated date (January 1, 2023),” the central bank said in a statement. Agreements for existing safe deposit lockers by December 31, 2023 in a phased manner.
Banks have been asked to inform all their customers about the revised requirements by April 30, 2023, and ensure that at least 50 per cent and 75 per cent of their existing customers are covered by June 30 and September 30, 2023, respectively. have executed the amended agreements.
Banks will also have to facilitate the execution of fresh/supplementary stamped agreements with their customers by taking measures such as arrangement of stamp paper, electronic execution of agreement, e-stamping, and providing a copy of the executed agreement to the customer.
The RBI has also said in cases where operations have been stopped in lockers for non-execution of the agreement by January 1, 2023, “shall be removed with immediate effect”.
The August 2021 guidelines are related to customer due diligence, model locker agreement, locker rent, strong room security, and recovery of locker contents by any law enforcement authority, among other things.
RBI further said that the model agreement prepared by the Indian Banks’ Association (IBA) needs to be amended to fully comply with the revised directions.
“IBA is separately being advised to review and amend the Model Agreement to ensure that it complies with the requirements of the circular dated August 18, 2021 and February 28, 2021,” said a circular. Circulates the revised version to all banks by 2023.”