Statement on Developmental and Regulatory Policies - October 4, 2017-Banking Facility for Senior Citizens and Differently abled Persons


RBI/2017-18/89
DBR.No.Leg.BC.96/09.07.005/2017-18
November 9, 2017
All Scheduled Commercial Banks (including RRBs)
All Small Finance Banks and Payments Banks
Dear Sir/ Madam
Statement on Developmental and Regulatory Policies - October 4, 2017-Banking Facility for Senior Citizens and Differently abled Persons
Please refer to Paragraph 8 of Statement on Developmental and Regulatory Policies, released by Reserve Bank of India on October 4, 2017 as part of Fourth Bi-monthly Monetary Policy Statement 2017-18, a copy of which is enclosed. It has been observed that there are occasions when banks discourage or turn away senior citizens and differently abled persons from availing banking facilities in branches. Notwithstanding the need to push digital transactions and use of ATMs, it is imperative to be sensitive to the requirements of senior citizens and differently abled persons.
2. In view of the above, banks are required to put in place appropriate mechanism with the following specific provisions for meeting the needs of such customers so that they are able to avail of the bank’s services without difficulty.
(a) Dedicated Counters/Preference to Senior Citizens, Differently abled persons
Banks are advised to provide a clearly identifiable dedicated counter or a counter which provides priority to senior citizens and people who are differently abled including visually impaired persons.
(b) Ease of submitting Life Certificate
As per extant guidelines issued by Department of Government and Bank Accounts, in addition to the facility of Digital Life Certificate under “Jeevan Praman” Scheme (refer circular DGBA.GAD.H-2529/45.01.001/2014-15 dated December 9, 2014), pensioners can submit physical Life Certificate form at any branch of the pension paying bank. However, it is observed that often the same is not updated promptly by the receiving branch in the Core Banking Solution (CBS) system of the bank, resulting in avoidable hardship to the pensioners. It is, therefore, advised that banks shall ensure that when a Life Certificate is submitted in any branch, including a non-home branch, of the pension paying bank, the same is updated/ uploaded promptly in CBS by the receiving branch itself, to avoid any delay in credit of pension.
(c) Cheque Book Facility
(i) Banks shall issue cheque books to customers, whenever a request is received, through a requisition slip which is part of the cheque book issued earlier.
(ii) Banks are advised to provide minimum 25 cheque leaves every year, if requested, in savings bank account, free of charge.
(iii) Banks shall not insist on physical presence of any customer including senior citizens and differently abled persons for getting cheque books.
(iv) Banks may also issue cheque books, on requisition, by any other mode as per bank’s laid down policy.
It is further clarified that providing such facility in BSBDA will not render the account to be classified as non-BSBDA (c.f. Bank’s response to query number 14 and 24 of our circular “DBOD.No. Leg. BC.52/09.07.005/2013-14 dated September 11, 2013 on Financial Inclusion – Access to Banking Services - BSBDA – FAQs”).
(d) Automatic conversion of status of accounts
Presently, in some banks, even fully KYC - compliant accounts are not automatically converted into ‘Senior Citizen Accounts’ on the basis of date of birth maintained in the bank’s records. Banks are advised that a fully KYC compliant account should automatically be converted into a ‘Senior Citizen Account’ based on the date of birth available in bank’s records.
(e) Additional Facilities to visually impaired customers
Banks are advised that the facilities provided to sick/old/incapacitated persons vide Paragraph 9 of our Master Circular DBR.No.Leg.BC.21/09.07.006/2015-16 dated July 1, 2015 on Customer Service in Banks (regarding operations of accounts through identification of thumb/toe impression/mark by two independent witnesses and authorising a person who would withdraw the amount on behalf of such customers) shall also be extended to the visually impaired customers.
(f) Ease of filing Form 15G/H
Banks are advised to provide senior citizens and differently abled persons Form 15G/H once in a year (preferably in April) to enable them to submit the same, where applicable, within the stipulated time.
(g) Door Step Banking
We have issued instructions on Doorstep Banking vide circular DBOD.No.BL.BC.59/22.01.010/2006-2007 dated February 21, 2007 under Section 23 of Banking Regulation Act, 1949. However, in view of the difficulties faced by senior citizens of more than 70 years of age and differently abled or infirm persons (having medically certified chronic illness or disability) including those who are visually impaired, banks are advised to make concerted effort to provide basic banking facilities, such as pick up of cash and instruments against receipt, delivery of cash against withdrawal from account, delivery of demand drafts, submission of Know Your Customer (KYC) documents and Life certificate at the premises/ residence of such customers.
3. Banks are advised to implement these instructions by December 31, 2017 in letter and spirit and give due publicity in their bank branches and website.
Yours faithfully
(Saurav Sinha)
Chief General Manager



Statement on Developmental and Regulatory Policies, Reserve Bank of India issued by the Governor on October 4, 2017
8. Banking Facility for Senior Citizens and Differently abled Persons
It has been reported that banks are discouraging or turning away senior citizens and differently abled persons from availing banking facilities in branches. Notwithstanding the need to push digital transactions and use of ATMs, it is imperative to be sensitive to the requirements of senior citizens and differently abled persons. It has been decided to instruct banks to put in place explicit mechanisms for meeting the needs of such persons so that they do not feel marginalised. Ombudsmen will also be advised to pay heed to complaints in this context. Necessary instructions in this regard will be issued by end-October 2017.

Many a times, most senior citizens (70 years and above) and persons with disabilities find it difficult to visit ATMs or bank branches for their banking requirements. Banks also discourage and turn away such people instead of empathising with their difficulties or helping them avail of services. Consequently, based on representations and complaints, the Reserve Bank of India (RBI) had asked banks to provided doorstep banking service to senior citizens and differently abled persons. However, many in the target groups, who need such help, are not aware of this direction. Since senior citizens were often harassed for submission of a life certificate and were asked to visit specific branches, the RBI has also directed banks to accept them at all branches. This is another facility that is not known to the lay person.
In a circular issued on 9 November 2017, the Reserve Bank had said, "...in view of the difficulties faced by senior citizens of more than 70 years of age and differently abled or infirm persons (having medically certified chronic illness or disability) including those who are visually impaired, banks are advised to make concerted effort to provide basic banking facilities, such as pick up of cash and instruments against receipt, delivery of cash against withdrawal from account, delivery of demand drafts, submission of know your customer (KYC) documents and life certificate at the premises and residence of such customers.

RBI Governor Dr Urjit Patel, in a statement on Developmental and Regulatory Policies issued in October 2017, had explicitly mentioned about providing banking facilities to senior citizens and differently abled persons. "It has been reported that banks are discouraging or turning away senior citizens and differently abled persons from availing banking facilities in branches. Notwithstanding the need to push digital transactions and use of ATMs, it is imperative to be sensitive to the requirements of senior citizens and differently abled persons. It has been decided to instruct banks to put in place explicit mechanisms for meeting the needs of such persons so that they do not feel marginalised. Ombudsmen will also be advised to pay heed to complaints in this context," the central bank had said.

The circular issued by RBI in November 2017, had asked banks to implement its instruction by 31 December 2017 and also give due publicity of these extended facilities to senior citizens and differently able persons in their branches and on website.

(a) Dedicated Counters/Preference to Senior Citizens, Differently abled persons
RBI had asked banks to provide a clearly identifiable dedicated counter or a counter, which provides priority to senior citizens and people who are differently abled including visually impaired persons.

(b) Ease of submitting Life Certificate

As per extant guidelines issued by Department of Government and Bank Accounts, in addition to the facility of Digital Life Certificate under “Jeevan Praman” Scheme, RBI says pensioners can submit physical life certificate form at any branch of their pension paying bank.

Reserve Bank said it is observed that often the life certificate is not updated promptly by the receiving branch in the core banking solution (CBS) system of the Bank, resulting in avoidable hardship to the pensioners. "It is, therefore, advised that banks shall ensure that when a life certificate is submitted in any branch, including a non-home branch, of the pension paying bank, the same is updated or uploaded promptly in CBS by the receiving branch itself, to avoid any delay in credit of pension," RBI says.

This means a customer a Bank can submit her life certificate in any branch of the Bank. For example, a senior citizen customer of State Bank of India (SBI) from Mumbai can submit her life certificate in a branch at Delhi or any other place and not necessarily at the home branch (where she has her account).

(c) Cheque Book Facility

(i) Banks shall issue cheque books to customers, whenever a request is received, through a requisition slip which is part of the cheque book issued earlier.
(ii) Banks are advised to provide minimum 25 cheque leaves every year, if requested, in savings bank account, free of charge.
(iii) Banks shall not insist on physical presence of any customer including senior citizens and differently abled persons for getting cheque books.
(iv) Banks may also issue cheque books, on requisition, by any other mode as per Bank’s laid down policy.

(d) Automatic conversion of status of accounts
Presently, in some banks, even fully KYC - compliant accounts are not automatically converted into ‘Senior Citizen Accounts’ on the basis of date of birth maintained in the bank’s records. Banks are advised that a fully KYC compliant account should automatically be converted into a ‘Senior Citizen Account’ based on the date of birth available in bank’s records.

(e) Additional Facilities to visually impaired customers
RBI has advised banks to provide facilities to sick, old or incapacitated persons. (Ref: Paragraph 9 of RBI Master Circular DBR.No.Leg.BC.21/09.07.006/2015-16 dated 1 July 2015 on Customer Service in Banks) This circular talks about operations of accounts through identification of thumb, toe impression or mark by two independent witnesses and authorising a person who would withdraw the amount on behalf of such customers that should be extended to the visually impaired customers.

(f) Ease of filing Form 15G/H
RBI also asked banks to provide senior citizens and differently abled persons Form 15G/H once in a year, preferably in April, to enable them to submit the same, where applicable, within the stipulated time.

What to do if Bank refuse any of the above mentioned services?
Reserve Bank had directed banks to set up an appropriate Grievance Redressal Machinery internally for redressing complaints about services rendered by its ‘agents’. The name and telephone number of the designated Grievance Redressal officer of the ‘bank’ must be made available to customers including on the bank’s website. The designated officer is required to ensure that genuine grievances of customers are redressed promptly.

This means, the senior citizen or differently able person first need to approach designated Grievance Redressal officer of the bank and submit her complaint. If there is no reply received within 30 days or the bank had rejected her complaint or the customer is not satisfied with the bank's reply she need to escalate the matter. 

If a customer feels that her complaint has not been satisfactorily addressed by the designated Grievance Redressal officer of the bank, she can approach the Banking Ombudsman's office in her area. Here is the link to offices of Banking Ombudsman spread across the country... https://www.rbi.org.in/commonman/English/Scripts/AgainstBankABO.aspx

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