JAIIB · RBWM

SERVICE STANDARDS FOR RETAIL BANKING

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Retail Banking and Wealth Management — JAIIB.

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Q

What is the primary objective of service standards in retail banking?

A

Service standards aim to ensure consistent, timely, and quality delivery of banking services to customers, enhancing satisfaction and building long-term relationships.

Q

What is the prescribed TAT for collection of local cheques and credit of proceeds to the customer's account?

A

Local cheques must be credited within one working day.

Q

Which RBI document lays down the framework for customer service standards in Indian banks?

A

The RBI's 'Charter of Customer Rights' and the Banking Ombudsman Scheme together form the regulatory framework for customer service standards in Indian banks.

Q

What is the timeline prescribed by RBI for banks to return rejected loan applications to customers?

A

Banks must return rejected loan applications within a reasonable timeframe with reasons.

Q

What is the maximum time a bank should take to open a basic savings account as per service standards?

A

Banks are expected to open a basic savings bank deposit account within the same day or at most within 24 hours of receiving a complete application with all KYC documents.

Q

What is meant by 'Know Your Customer' (KYC) compliance in the context of retail banking service standards?

A

KYC requires verifying customer identity using approved documents before account opening.

Q

What does the term 'Turnaround Time' (TAT) mean in the context of retail banking services?

A

Turnaround Time refers to the time taken by a bank to process and complete a customer request or transaction from initiation to final delivery of the service.

Q

What is the standard TAT for activation of internet banking services after request by a customer?

A

Internet banking activation should typically be done within two to three working days.

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