All about RBI Integrated Ombudsman Scheme, 2021

Filed a complaint against a bank / financial institution but haven’t received a reply for more 30 days? Or received a reply but not satisfied with the resolution offered by the bank / financial institution? Or the complaint was rejected by the bank / financial institution? You can approach RBI Ombudsman under the RBI Integrated Ombudsman Scheme, 2021.

What is RBI Integrated Ombudsman Scheme (RBI-IOS), 2021?

RBI-IOS was launched on November 12, 2021, by integrating the existing 3 Ombudsman schemes of RBI. RBI-IOS adopts ‘One Nation One Ombudsman’ approach by making the RBI Ombudsman mechanism jurisdiction neutral. It provides cost-free redress of customer complaints involving deficiency in services rendered by entities regulated by RBI.

Which schemes are integrated in RBI-IOS?

RBI-IOS integrates following existing schemes of RBI –

Schemes	Powers derived from	Entities covered
Banking Ombudsman Scheme, 2006	Section 35A of BR Act, 1949	Scheduled Commercial Banks (SCBs), Scheduled Primary (Urban) Co-operative Banks (UCBs), Regional Rural Banks (RRBs), Small Finance Banks (SFBs) and Payment Banks (PBs)
Ombudsman Scheme for NBFCs, 2018	Section 45L of RBI Act, 1934	Non Banking Financial Companies (NBFCs) authorized to accept deposits NBFCs having customer interface, with an asset size of ₹100 crore or above
Ombudsman Scheme for Digital Transactions, 2019	Section 18 of Payment and Settlement Systems Act, 2007	Non-bank System Participants (issuers of Pre-paid Payment Instruments (PPIs)) regulated by RBI

In addition to integrating the existing 3 schemes, RBI-IOS also includes under its ambit –

• Non-Scheduled UCBs with a deposit size of ₹50 crore and above
• Credit Information Companies (CICs) (with effect from September 01, 2022)
• State Co-operative Banks and Central Co-operative Banks (with effect from November 01, 2025)

Which entities are not covered by RBI-IOS?

RBI-IOS doesn’t apply to –

1. A bank in resolution or winding up or under directions
2. Core Investment Company (CIC)
3. Infrastructure Debt Fund - NBFC (IDF-NBFC)
4. NBFC - Infrastructure Finance Company (NBFC-IFC)
5. A company in resolution or winding up / liquidation

What is deficiency in service?

Deficiency in service means a shortcoming or an inadequacy in any financial service, which the Regulated Entity is required to provide statutorily or otherwise, which may or may not result in financial loss or damage to the customer.

How to file complaint with RBI under RBI-IOS?

Complaints can be filed in any of the following ways –

1. Online on portal https://cms.rbi.org.in
2. Through the dedicated e-mail 
3. Sent in physical mode to Centralised Receipt and Processing Centre, Chandigarh

Whom can you contact to help with your complaints?

Contact Centre with a toll-free number – 14448 (9:30 am to 5:15 pm) is being operationalised in Hindi, English and in 10 regional languages to provide information / clarifications regarding the alternate grievance redress mechanism of RBI and to guide complainants in filing of a complaint.

How much compensation can be granted under RBI-IOS?

A compensation of up to Rs.20 lakh can be awarded by RBI Ombudsman for deficiency in service. In addition to this, a compensation of up to Rs.1 lakh may be granted for the loss of the complainant’s time, expenses incurred and for harassment / mental anguish suffered by the complainant.

What are the features of RBI-IOS? 

1. It will no longer be necessary for a complainant to identify under which scheme he / she should file complaint with the Ombudsman.
2. RBI-IOS defines ‘deficiency in service’ as the ground for filing a complaint, with a specified list of exclusions. Therefore, the complaints would no longer be rejected simply on account of “not covered under the grounds listed in the scheme”.
3. RBI-IOS has done away with the jurisdiction of each ombudsman office.
4. A Centralised Receipt and Processing Centre has been set up at RBI, Chandigarh for receipt and initial processing of physical and email complaints in any language.
5. The responsibility of representing the Regulated Entity and furnishing information in respect of complaints filed by customers against the Regulated Entity would be that of the Principal Nodal Officer in the rank of a General Manager in a Public Sector Bank or equivalent.
6. The Regulated Entity will not have the right to appeal in cases where an Award is issued by the ombudsman against it for not furnishing satisfactory and timely information / documents.

Who is appointed as Ombudsman?

• RBI may appoint one or more of its officers as Ombudsman and Deputy Ombudsman, to carry out the functions entrusted to them under RBI-IOS.
• Appointment of Ombudsman / Deputy Ombudsman shall be for upto 3 years at a time.

Who is the Appellate Authority of RBI?

Appellate Authority means the Executive Director in-Charge of the Department of RBI administering the RBI-IOS.

Which complaints are not covered under RBI-IOS?

The complaints involving following matters are not covered under RBI-IOS –

1. Commercial judgment / commercial decision of a Regulated Entity
2. Dispute between a vendor and a Regulated Entity relating to an outsourcing contract
3. Grievance not addressed to the Ombudsman directly
4. General grievances against Management or Executives of a Regulated Entity
5. Dispute in which action is initiated by a Regulated Entity in compliance with the orders of a statutory or law enforcing authority
6. Service not within the regulatory purview of RBI
7. Dispute between Regulated Entities
8. Dispute involving the employee-employer relationship of a Regulated Entity
9. Complaints which are in the nature of offering suggestions or seeking guidance or explanation

What are the pre-conditions for complaints to be accepted under RBI-IOS?

1. Before making a complaint under RBI-IOS, the complainant had made a written complaint to the Regulated Entity concerned and the complaint was rejected wholly / partly, or the complainant is not satisfied with the reply of the regulated entity, or the complainant had not received any reply for more than 30 days of filing complaint with the Regulated Entity.
2. The complaint is made to the Ombudsman within 1 year of receiving the reply from the Regulated Entity or, where no reply is received, within 1 year and 30 days from the date of the complaint.
3. The complaint is not in respect of the same cause of action which is already pending before an Ombudsman or settled or dealt with on merits, by an Ombudsman, or pending before any Court, Tribunal or Arbitrator or any other Forum or Authority; or, settled or dealt with on merits, by any Court, Tribunal or Arbitrator or any other Forum or Authority.
4. The complaint is not abusive or frivolous or vexatious in nature.
5. The complaint to the Regulated Entity was made before the expiry of the period of limitation prescribed under the Limitation Act, 1963, for such claims.
6. The complainant provides complete information.
7. The complaint is lodged by the complainant personally or through an authorised representative other than an advocate unless the advocate is the aggrieved person.

When is the complaint deemed resolved?

1. The complaint has been settled by the Regulated Entity with the complainant upon the intervention of the Ombudsman; or 
2. The complainant has agreed in writing or otherwise that the manner and the extent of resolution of the grievance is satisfactory; or
3. The complainant has withdrawn the complaint voluntarily

When can the complaint be rejected by RBI-IOS?

The Ombudsman may reject a complaint at any stage if –

1. In his opinion there is no deficiency in service; or
2. The compensation sought for the consequential loss is beyond the power of the Ombudsman to award the compensation; or
3. The complaint is not pursued by the complainant with reasonable diligence; or
4. The complaint is without any sufficient cause; or
5. The complaint requires consideration of elaborate documentary and oral evidence and the proceedings before the Ombudsman are not appropriate for adjudication of such complaint; or
6. In the opinion of the Ombudsman there is no financial loss or damage, or inconvenience caused to the complainant

When can appeal be made before the Appellate Authority? 

1. There shall not be any right of appeal to a Regulated Entity for an Award issued for non-furnishing of documents / information under clause 15(1)(a).
2. Regulated Entity may, aggrieved by an Award under clause 15(1)(b) or closure of a complaint under clauses 16(2)(c) to 16(2)(f) prefer an appeal before the Appellate Authority within 30 days of receipt of communication of Award or closure of the complaint. An appeal may be filed by a Regulated Entity only with the previous sanction of the Chairman or the Managing Director / Chief Executive Officer or, in their absence, the Executive Director / Official of equal rank.
3. The complainant may, aggrieved by an Award under clause 15(1) or rejection of a complaint under clauses 16(2)(c) to 16(2)(f) prefer an appeal before the Appellate Authority within 30 days of receipt of the Award or rejection of the complaint.

What action can be taken by Appellate Authority?

Appellate Authority may, after giving the parties a reasonable opportunity of being heard –

1. Dismiss the appeal; or
2. Allow the appeal and set aside the Award or order of the Ombudsman; or
3. Remand the matter to the Ombudsman for fresh disposal in accordance with such directions as the Appellate Authority may consider necessary or proper; or
4. Modify the order of the Ombudsman or Award and pass such directions as may be necessary to give effect to the order of the Ombudsman or Award so modified; or
5. Pass any other order as it may deem fit.

References

Reserve Bank of India. (2021, November 12). 'The Reserve Bank - Integrated Ombudsman Scheme, 2021'. Retrieved from https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=52549

Reserve Bank of India. (2021, November 12). 'THE RESERVE BANK - INTEGRATED OMBUDSMAN SCHEME, 2021'. Retrieved from https://rbidocs.rbi.org.in/rdocs/content/pdfs/RBIOS2021_121121.pdf

Reserve Bank of India. (2022, August 05). 'Reserve Bank - Integrated Ombudsman Scheme, 2021 (RBIOS, 2021)'. Retrieved from https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12371&Mode=0

Reserve Bank of India. (2023, January 04). 'RBI releases Annual Report of Ombudsman Schemes, 2021-22'. Retrieved from https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=54989

Reserve Bank of India. (2025, October 07). 'Reserve Bank – Integrated Ombudsman Scheme, 2021 – Inclusion of State Co-operative Banks and Central Co-operative Banks'. Retrieved from https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=61372

Reserve Bank of India. (2025, October 07). 'Reserve Bank - Integrated Ombudsman Scheme, 2021 (RB-IOS, 2021)'. Retrieved from https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12911&Mode=0

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