Everyday banking is an essential part of life—whether it’s depositing money, taking a loan, or using digital payments. But what happens when things go wrong? Sometimes, banks delay services, charge unfair fees, or behave rudely. Many customers don’t know where to complain or how to get a proper resolution.
This article will help you understand how to raise your voice the right way if you’re facing a problem with any bank—whether public sector, private, cooperative, or even a foreign bank operating in India. The process is legal, free, and transparent.
Start With the Bank’s Internal Grievance System
Lodge a Complaint with the Bank’s Customer Service First
The Reserve Bank of India (RBI) has made it mandatory for all banks to have an internal grievance redressal mechanism. This is the first step before going to any authority.
You can file a complaint with the bank by:
- Visiting your home branch
- Calling the bank’s toll-free number
- Emailing customer support
- Using the complaint form on the bank’s official website
Always remember to note down the complaint reference number and date. This helps if you need to escalate later.
Time Limit for Bank to Respond
After you lodge a complaint, the bank is expected to resolve the issue within 30 days. If it’s not solved in that period, or if the bank gives an unsatisfactory reply, you can move to the next level.
Escalate to the Banking Ombudsman – RBI’s Complaint System
What Is the Banking Ombudsman?
The Banking Ombudsman is a quasi-judicial authority created by the Reserve Bank of India (RBI) to resolve complaints from bank customers related to services.
This scheme covers:
- All scheduled commercial banks
- Regional rural banks
- Scheduled primary co-operative banks
Complaints You Can Raise
You can file a complaint with the Ombudsman for issues like:
- Delay in cheque clearance
- Non-payment or delay in loan disbursement
- Failure in digital banking services
- Unfair bank charges
- Mis-selling of insurance or third-party products
- Fraudulent transactions not resolved by bank
- ATM, UPI, or net banking failures
How to File a Complaint with the Ombudsman
You can complain online through the RBI’s CMS portal:
Website: https://cms.rbi.org.in
Steps to follow:
- Visit the CMS portal
- Select “File a Complaint”
- Choose the relevant category (bank, NBFC, payment system)
- Fill the complaint form with details
- Upload supporting documents (if any)
- Submit and note the complaint number
You can also file a complaint through email, post, or by visiting the RBI Ombudsman office in your city.
Documents Required:
- Written complaint or complaint ID from bank
- Account statement or transaction proof
- Identity proof (like Aadhaar or PAN)
- Any email or SMS communication with the bank
Digital Option: File a Complaint Using RBI’s CMS Mobile App
To make it even more convenient, RBI launched the CMS mobile app for both Android and iOS. You can download it from the Play Store or App Store and follow the same steps as the website to lodge a complaint.
Benefits of using the app:
- Real-time complaint tracking
- Secure uploads of documents
- Easy interface for mobile users
Complaint Against NBFCs and Payment Systems
If your complaint is related to NBFCs (Non-Banking Financial Companies) or Payment Systems (like UPI apps, digital wallets, or payment gateways), the RBI CMS portal still applies.
You need to select the correct entity when filing the complaint. For instance:
- Choose “NBFC” for complaints against Bajaj Finance, Tata Capital, etc.
- Choose “Payment System Participants” for complaints against Google Pay, PhonePe, Paytm, Razorpay, etc.
Complaint Against Cooperative Banks
Earlier, cooperative banks were not under the Ombudsman scheme. But now, even Urban Co-operative Banks and State Co-operative Banks are included.
You can file complaints for:
- Loan delays
- Deposit issues
- Technical failures
- ATM-related problems
The process remains the same via the CMS portal.
RBI’s Integrated Ombudsman Scheme 2021
In November 2021, RBI merged multiple Ombudsman schemes (for banks, NBFCs, and digital payment systems) into one single system called the Integrated Ombudsman Scheme.
Key features:
- One Nation, One Ombudsman
- No need to identify jurisdiction
- Automatic redirection of complaint to the concerned authority
- Common platform for all grievances
This means customers no longer have to figure out which scheme applies. Just file the complaint on the CMS portal, and the system will take care of the rest.
What Happens After Filing an Ombudsman Complaint?
After you lodge a complaint:
- You will receive a complaint number via email/SMS.
- The Ombudsman will first check if the complaint is valid.
- The bank will be given a chance to respond.
- A hearing may be held online or via telephone.
- The Ombudsman may pass an award (decision) within 30–45 days.
If the bank is found guilty, you may get:
- Refund of charges
- Compensation up to ₹20 lakh
- Interest for delay
- Apology or service correction
If You’re Still Not Satisfied: Approach the Appellate Authority
If you are unhappy with the decision of the Ombudsman, you can appeal to the Appellate Authority within 30 days. The Appellate Authority is located at the RBI’s central office in Mumbai.
Appeal process:
- File online via CMS portal
- Submit copy of Ombudsman’s order
- Provide reasons for disagreement
This is the last stage of complaint redressal through RBI channels.
Other Legal Options: Consumer Court and Civil Court
If you still feel justice has not been done, you can move to:
- Consumer Dispute Redressal Commission (District, State, or National level)
- Civil Court for higher compensation or damages
These options require legal documentation, possible legal fees, and more time. But they are helpful in serious matters involving fraud or financial loss.
Tips for Filing an Effective Complaint
To improve the chances of getting a resolution:
- Be clear and concise in your complaint
- Mention dates, amounts, and names wherever possible
- Attach supporting documents (email trail, statements, screenshots)
- Always keep copies for your records
- Avoid abusive or threatening language
- Follow up using the reference number
Common Mistakes to Avoid
- Not waiting 30 days before approaching the Ombudsman
- Filing complaints to the wrong agency
- Not submitting proper proof
- Expecting instant compensation without bank’s reply
Being informed helps speed up the process and increases your chances of getting the right response.
Final Words: Use Your Rights Smartly
Banks are regulated by the Reserve Bank of India, and every customer has the right to complain if treated unfairly. Whether your issue is small or big, don’t stay silent. Use the bank’s complaint system first, and if needed, go to the RBI’s Ombudsman using the CMS portal.
A strong financial system needs active participation from customers—and that includes standing up when things go wrong.
