SFB · SMALLFINANCE

CONSUMER PROTECTION

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Small Finance Bank — Small Finance Bank.

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One-liners from this chapter

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Q

What is the primary legislation governing consumer protection in India's banking sector?

A

The Consumer Protection Act, 2019 is the primary legislation governing consumer protection, replacing the earlier 1986 Act and broadening the definition of consumer and scope of remedies.

Q

What is the maximum compensation a customer can claim under the RBI Integrated Ombudsman Scheme 2021?

A

Rs. 20 lakh for loss and Rs. 1 lakh for mental agony

Q

Which regulatory body is responsible for consumer protection in Small Finance Banks?

A

The Reserve Bank of India (RBI) is the primary regulator responsible for consumer protection in Small Finance Banks, enforcing guidelines through the Banking Regulation Act and its own circulars.

Q

What is the pecuniary jurisdiction of the State Consumer Disputes Redressal Commission under the Consumer Protection Act, 2019?

A

Complaints above Rs. 1 crore up to Rs. 10 crore

Q

What is the Banking Ombudsman Scheme and who can approach it?

A

The Banking Ombudsman Scheme is an RBI-initiated quasi-judicial mechanism for resolving customer complaints against banks. Any individual, including SFB customers, can approach the Ombudsman if their complaint is not resolved within 30 days by the bank.

Q

What is the pecuniary jurisdiction of the National Consumer Disputes Redressal Commission under the Consumer Protection Act, 2019?

A

Complaints above Rs. 10 crore

Q

What is the time limit for a bank to resolve a customer complaint before the customer can escalate to the Banking Ombudsman?

A

A customer must wait 30 days after filing a complaint with the bank before approaching the Banking Ombudsman, if no reply is received or the reply is unsatisfactory.

Q

What is the full form of SCORES in the context of investor and consumer protection?

A

SEBI Complaints Redress System

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